US strikes at a fragile moment for global economy
US strikes on Iran
's three main nuclear facilities come at a fragile moment for the
global economy
, and the outlook now hinges on how forcefully the Islamic Republic retaliates.
The World Bank, the Organization for Economic Cooperation and Development and the
International Monetary Fund
have all downgraded their global growth forecasts in recent months. Any significant increases in oil or natural gas prices, or disturbances in trade caused by a further escalation of the conflict, would act as yet another brake on the world economy.
"We'll see how Tehran responds, but the attack likely puts the conflict on a escalatory path," Bloomberg Economics analysts including Ziad Daoud wrote in a report. "For the global economy, an expanding conflict adds to the risk of higher
oil prices
and an upward impulse to inflation.?"
The rising geopolitical risks intersect with a potential escalation in tariffs in the coming weeks as President Donald Trump's pauses of his hefty so-called "reciprocal" levies are due to expire. The biggest economic impact from a prolonged conflict in the Middle East would likely be felt via surging oil prices.
Post the US strike, a derivative product that allows investors to speculate on price swings in crude oil surged 8.8% on IG Weekend Markets. If that move were to hold when trading resumes, IG strategist Tony Sycamore said he projects WTI crude oil futures will open at around $80 per barrel.
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Time of India
2 hours ago
- Time of India
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Explore courses from Top Institutes in Please select course: Select a Course Category MBA Product Management MCA Cybersecurity healthcare Artificial Intelligence CXO Public Policy Finance Technology Operations Management Healthcare PGDM Others Project Management Design Thinking Degree Management Digital Marketing Data Science Data Science Data Analytics others Leadership Skills you'll gain: Analytical Skills Financial Literacy Leadership and Management Skills Strategic Thinking Duration: 24 Months Vellore Institute of Technology VIT Online MBA Starts on Aug 14, 2024 Get Details Skills you'll gain: Financial Management Team Leadership & Collaboration Financial Reporting & Analysis Advocacy Strategies for Leadership Duration: 18 Months UMass Global Master of Business Administration (MBA) Starts on May 13, 2024 Get Details He said 90% of any profits from the money invested would go to the U.S. even if Japan had put up the funds. "It's not a loan or anything, it's a signing bonus," the Republican president said, on the trade framework that lowered his threatened tariff from 25% to 15%, including on autos. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Solar Panels Prices Might Surprise You Affordable Solar Panel | Search Ads Search Now Undo A White House official said the terms are being negotiated and nothing has been formalized in writing. The official, who insisted on anonymity to detail the terms of the talks, suggested the goal was for the $550 billion fund to make investments at Trump's direction. The sum is significant: It would represent more than 10% of Japan's entire gross domestic product . The Japan External Trade Organization estimates that direct investment into the U.S. economy topped $780 billion in 2023. It is unclear the degree to which the $550 billion could represent new investment or flow into existing investment plans. 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Business Standard
2 hours ago
- Business Standard
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First Post
3 hours ago
- First Post
US President Trump's Scotland visit blends politics and business at new golf site
President Donald Trump landed in Scotland to inaugurate a new golf course in Balmedie while blending presidential duties with business promotion. The visit, labeled a 'working trip' by the White House, also includes meetings with UK and EU leaders. read more Lashed by cold winds and overlooking choppy, steel-gray North Sea waters, the breathtaking sand dunes of Scotland's northeastern coast rank among Donald Trump's favourite spots on earth. 'At some point, maybe in my very old age, I'll go there and do the most beautiful thing you've ever seen,' Trump said in 2023, during his New York civil fraud trial, talking about his plans for future developments on his property in Balmedie, Aberdeenshire. STORY CONTINUES BELOW THIS AD At 79 and back in the White House, Trump is making at least part of that pledge a reality, landing in Scotland on Friday as his family's business prepares for the Aug. 13 opening of a new golf course bearing his name. 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STORY CONTINUES BELOW THIS AD Trump's first Aberdeen course sparked legal battles Trump's existing Aberdeenshire course, meanwhile, has a history nearly as rocky as the area's cliffs. It has struggled to turn a profit and was found by Scottish conservation authorities to have partially destroyed nearby sand dunes. Trump's company also was ordered to cover the Scottish government's legal costs after the course unsuccessfully sued over the construction of a nearby wind farm, arguing in part that it hurt golfers' views. And the development was part of the massive civil case, which accused Trump of inflating his wealth to secure loans and make business deals. Trump's company's initial plans for his first Aberdeen-area course called for a luxury hotel and nearby housing. His company received permission to build 500 houses, but Trump suggested he'd be allowed to build five times as many and borrowed against their values without actually building any homes, the lawsuit alleged. Judge Arthur Engoron found Trump liable last year and ordered his company to pay $355 million in fines — a judgment that has grown with interest to more than $510 million as Trump appeals. STORY CONTINUES BELOW THIS AD Golfers-in-chief Family financial interests aside, Trump isn't the first sitting U.S. president to golf in Scotland. That was Dwight D. Eisenhower, who played in Turnberry in 1959. George W. Bush visited the famed course at Gleneagles in 2005 but didn't play. Many historians trace golf back to Scotland in the Middle Ages. Among the earliest known references to game was a Scottish Parliament resolution in 1457 that tried to ban it, along with soccer, because of fears both were distracting men from practicing archery — then considered vital to national defense. The first U.S. president to golf regularly was William Howard Taft, who served from 1909 to 1913 and ignored warnings from his predecessor, Teddy Roosevelt, that playing too much would make it seem like he wasn't working hard enough. Woodrow Wilson played nearly every day but Sundays, and even had the Secret Service paint his golf balls red so he could practice in the snow, said Mike Trostel, director of the World Golf Hall of Fame. STORY CONTINUES BELOW THIS AD Warren G. Harding trained his dog Laddie Boy to fetch golf balls while he practiced. Lyndon B. Johnson's swing was sometimes described as looking like a man trying to kill a rattlesnake. Bill Clinton, who liked to joke that he was the only president whose game improved while in office, restored a putting green on the White House's South Lawn. It was originally installed by Eisenhower, who was such an avid user that he left cleat marks in the wooden floors of the Oval Office by the door leading out to it. 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The White House described Trump as a championship-level golfer but said he plays with no handicap.
