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#1US Sanctions on Iran Strain China Ties, Impact Oil and FX Markets
#3Extreme Weather Threatens European Crop Yields, Pressures Food Prices
Commodities
2
Brent crude oil
▲5 to 10%
Brent crude prices are likely to rise due to potential supply disruptions from Iran.
Mechanism Sanctions could curtail Iranian oil exports, tightening global supply and pushing prices higher.
Direct effect
weeks
European wheat prices
▲3 to 5%
Wheat prices in Europe are likely to rise as supply becomes constrained.
Mechanism With reduced yields, wheat futures could see upward pressure as traders anticipate tighter supply.
Direct effect
weeks