Middle East Tensions Send Oil Prices Soaring Towards $100

Oil prices are climbing on Wednesday due to tensions between Iran and the US over control of the Strait of Hormuz, which has threatened oil supplies.

The price of Brent crude is just cents away from reaching $100 per barrel, a level that could trigger central banks to hike interest rates and put pressure on economic growth.

Natural Gas prices are also surging, with European gas rising to its highest level since 2022 due to low stocks and the approaching winter season. This has analysts warning of a 'winter of discontent'.

The USD/JPY is strengthening as US Treasury Secretary Scott Bessent signals that the US will do what it takes to protect its Treasury market and prop up the yen.