Iran, global economy
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By Mark John LONDON, April 13 (Reuters) - Alarm over the impact of the Iran war on the global economy grew on Monday with more countries announcing emergency support measures to combat rising energy costs,
Ajay Rajadhyaksha, global chair of research at Barclays, pointed in a note to clients to higher oil prices, a hawkish pivot by western central banks and a “thinner cushion” for consumers as the lasting price of the conflict.
The case for introducing fundamentally driven, or smart, global bond market indexes has been reinforced by both rapid growth in sovereign bond issuance and DM debt levels in recent years.
The effects of the war in Iran are squeezing consumers, businesses and governments around the world, raising the prices of many essential goods.
The most immediate impact of the war on the global economy has been a sharp shortage of distillate fuels, particularly gasoil and jet fuel. This disruption comes at a time of seasonally high demand, driven by agricultural planting and the approach of peak holiday travel, when air traffic typically rises.
By Kevin Yao BEIJING, April 13 (Reuters) - China's economy likely regained some momentum in the first quarter on solid exports, but growth is expected to cool over the rest of 2026 as the Middle East crisis threatens to choke corporate profits and sap overseas demand,
President Donald Trump has cast a fragile two-week ceasefire between the United States and Iran as a “total and complete victory.” But the terms of the truce highlight how Iran has used control of the Strait of Hormuz to gain enormous leverage over the global economy.
The U.S. and global economies could pay a steep price for the war against Iran in the form of higher inflation, slower economic growth, and higher borrowing costs for some time to come, even if the conflict ends tomorrow.