Iran-US Conflict Escalates as Oil Prices Surge Amid Tanker Strikes
The ongoing conflict between the US and Iran has taken another dramatic turn as both sides continue to exchange strikes. The escalation of tensions in the region has led to a surge in oil prices, with Brent futures rising sharply.
The US Central Command announced that American forces destroyed five Iranian crude oil tankers overnight in response to an Iranian ballistic missile attack on a US aircraft carrier. This marks an increase from the three tankers hit on September 5, according to CENTCOM. Secretary of State Marco Rubio warned Iran that it would continue to lose tankers for as long as it attempted to strike US naval vessels.
Iran fired a ballistic missile attack on a US base in Jordan, which its air defences intercepted 18 out of 20 missiles, with two landing in unpopulated areas and no casualties reported. The trade dispute between Washington and Ottawa has also escalated further as the US banned Canadian alcoholic beverages, motorcycles, and dairy products from import, effective September 29.
Asia-Pacific equity markets largely shrugged off a weak lead from Wall Street, where all major US indices fell on their return from the long weekend. South Korea's KOSPI was the standout performer in the region, rising 2% on AI optimism and strength in chip stocks. China's August inflation figures beat expectations, with CPI rising 0.8% year-on-year and PPI rising 3.8% year-on-year.