US Dollar Slips After PCE Inflation Data Eases Fed Rate Hike Expectations 
S&P Affirms Brazil’s BB Credit Rating with Stable Outlook Amid Fiscal Challenges 
Gold Price Ends Lower for Fourth Week Despite Rebound as Fed Rate Hike Bets Strengthen 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
Japan Targets 1%+ Real Economic Growth With ¥370 Trillion Investment Plan 
Canada Grants C$7 Million to Greenland Molybdenum Mine to Strengthen Critical Minerals Supply 
Trump Threatens 100% Tariffs on Countries Imposing Digital Services Taxes on U.S. Tech Firms 
Oil Prices Drop as Middle East Supply Recovery Eases Market Concerns 
World Bank Approves $1.1 Billion Emergency Funding for Bangladesh Amid Food and Energy Price Pressures 
Bank Regulation Rollbacks in the U.S. and UK Could Increase Financial Risks, Study Warns 
China Factory PMI Seen Returning to Growth in June as AI Export Demand Supports Economy 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
SpaceX Eyes Starlink Mobile Phone Service to Challenge Verizon, AT&T, and T-Mobile 
Morgan Stanley Sees Chinese Auto Market Recovery Gaining Momentum in Late Summer 
Asian Stocks Slip as US-Iran Ceasefire Hopes Lift Oil, Dollar Strength Persists 
Oil Prices Hold Steady Amid U.S. SPR Purchases and Demand Uncertainty
Brent crude futures saw a modest rise of $0.03 to $71.45 per barrel early Tuesday, while U.S. West Texas Intermediate (WTI) increased by $0.07 to $67.45 per barrel. This stability follows a steep 6% decline on Monday after Israel's weekend strikes against military targets in Iran, which spared Iranian oil infrastructure, calming fears of an extended conflict.
Middle East Tensions and U.S. Response
Middle Eastern tensions remain high, with Iran pledging to respond to Israel's recent attacks. The U.S. has warned Iran of “severe consequences” should it escalate aggression in the region, yet analysts see limited near-term risk to oil supply. ING Economics noted that while geopolitical concerns are significant, bearish market fundamentals may dominate through 2025.
U.S. Strategic Petroleum Reserve (SPR) Plan
The U.S. government announced plans to purchase up to 3 million barrels of crude for the SPR by May 2025, injecting some stability into the market. However, limited funding means further buys are dependent on future congressional approval. Meanwhile, China's sluggish demand growth and delayed peak winter heating season in the Northern Hemisphere could weigh on global oil prices.
U.S. Inventory Update
A preliminary Reuters poll indicated a likely rise in U.S. crude and gasoline inventories last week, with distillate stocks possibly down. Industry data from the American Petroleum Institute is expected Tuesday, while the U.S. Energy Information Administration will release its report on Wednesday.
