(AFP) – Here are the latest economic events in the Middle East war on Wednesday:
– **Oil reserves tapped**
Japan and Germany said they would tap into their oil reserves to counter high energy prices as a result of the war. Germany’s economy minister mentioned that the move came in response to a request by the International Energy Agency (IEA). The Wall Street Journal reported on Tuesday that the IEA had proposed its largest-ever release of reserves.
– **Oil prices resurge**
World oil prices surged, with international benchmark Brent North Sea crude jumping 5.1 percent to $92.23 per barrel. The main US contract, West Texas Intermediate, soared 5.9 percent to $88.38 per barrel. Oil and gas prices had tumbled Tuesday after US President Donald Trump commented, “I think the war is very complete, pretty much.”
– **World stocks mixed**
European stock markets sank, with Frankfurt losing more than one percent following gains the previous day as uncertainty over the war persisted. In contrast, Asian stock markets rallied, with Seoul up more than five percent and Tokyo ending with a gain of 2.9 percent. US stocks spent much of Tuesday in positive territory but finished mostly lower.
– **France eyes consumers**
Faced with rising petrol prices ahead of local elections, France’s Prime Minister Sebastien Lecornu asked ministers at a cabinet meeting for proposals on measures to protect consumers. Trade Minister Serge Papin mentioned that dozens of gas stations had been fined for pricing irregularities.
– **Greece caps retail profits**
Greece’s Prime Minister Kyriakos Mitsotakis announced that the government would cap profit margins on gasoline and a range of foodstuffs for three months as the war raised fears of a price surge.
– **Ships hit**
Unknown projectiles hit two cargo ships off the coast of the United Arab Emirates, according to the British maritime security agency UKMTO, as Iran pressed attacks on the Gulf and the nearby Strait of Hormuz. The Thai navy reported that a Thai bulk carrier travelling in the strait was attacked, with 20 crew members rescued so far.
– **Fuel queues**
Tanker drivers in Pakistan reported facing long waits at depots due to a shortage of fuel, as the government sought to downplay fears of another rise in prices because of the war.
– **Drones target oil field**
Saudi Arabia’s defence ministry announced on X that it had intercepted seven drones heading towards the Shaybah oil field in the southeast of the country.
– **ECB inflation vow**
European Central Bank chief Christine Lagarde stated that “everything necessary” would be done to “keep inflation under control.”
– **Hormuz confusion**
The United States energy secretary tweeted in a video on X that the US Navy had escorted an oil tanker through the Strait of Hormuz, but the post was deleted within minutes. The White House later clarified that the US Navy had not escorted any tankers through the strategic Gulf passage. Iran’s Revolutionary Guards asserted that no US Navy vessel has “dared” to approach the strait.
– **UAE refinery**
The region’s biggest single-site oil refinery, located at Ruwais in the United Arab Emirates, was closed as a precaution after a drone attack on the industrial complex that houses it caused a fire. A driver working at the complex, who asked not to be named, reported seeing “bursts of fire rising from the complex, with loud sounds like explosions.”
© 2024 AFP
