Bank says gold reserves held in London could be traded more easily and the move will allow it to respond more rapidly in a ‘crisis situation’
The Dutch central bank says it has moved 86 tonnes of its gold reserves out of the US and Canada to London, citing “increasing geopolitical unrest”.
De Nederlandsche Bank (DNB) said gold reserves held in London could be traded more easily than those held in New York and Ottawa.
Continue reading...As one of Europe’s biggest consumers of gas the UK may be particularly exposed to heightened price volatility
Europe is on course to enter the cooler months with gas stores at their lowest level in 13 years, which has triggered “winter panic” among energy traders, experts have warned.
The EU’s gas stocks were 63% full in the last week of August, well below the 80% average for late August over recent years and among the lowest levels ever recorded for this time of year.
Continue reading...Critics call move to gain long-term access to country’s massive energy reserves ‘predatory’ and ‘unconstitutional’
Reports that the US is preparing to claim a big stake in Venezuela’s massive energy reserves have sparked an outcry, with critics describing the move as “predatory” and a “rapacious” land grab.
Several media outlets this week reported that the Trump administration – which abducted Venezuela’s authoritarian president, Nicolás Maduro, in January and has steered the South American country ever since – hopes to secure long-term access to its oil and gasfields.
Continue reading...Government assessment warns of supply shock that could leave homes and businesses without gas within a decade
Great Britain risks running out of gas in the 2030s despite its growing clean energy sources, unless ministers take “unprecedented” action to guard against a future supply shock, according to an official assessment.
The government is considering plans to provide direct financial support to safeguard the country’s ageing gas infrastructure after a consultation found that a “high stress scenario” could mean homes and businesses run out within the next decade.
Continue reading...US president hits out at ExxonMobil and Chevron, saying they should ‘give some of that back to the public’
Donald Trump has criticised oil companies for “making too much money” from the global energy market disruption caused by his war on Iran.
Brent crude had been trading at about $70 (£52) a barrel before the first US-Israeli strikes at the end of February, but by the end of April it had soared as high as $126 and is now trading at about $85 a barrel.
Continue reading...Live, rolling coverage as London’s biggest companies defy Middle East disruption and UK petrol prices rise to around £1.60 per litre, the highest since Donald Trump ordered renewed strikes
The story piquing the interest of the financial press this morning is that of Leopold Aschenbrenner, the AI Wunderkind (he’s German-born) who has been forced to sell off his fund in a fire sale after the AI boom ran out of steam.
The 24-year-old had persuaded a lot of people to give him a lot of money for a hedge fund, after previously working for OpenAI and the FTX Future Fund, a charitable arm of the fraudulent crypto empire of Sam Bankman-Fried, who is now in prison. Aschenbrenner ploughed that money into debt-fuelled bets on artificial intelligence companies, earning huge returns until he found out that stocks can also fall.
The trader dubbed the “Nostradamus of AI” would have been hard-pressed to foresee how quickly his high-flying hedge fund would run into trouble.
The firm’s rapid downward spiral is a familiar tale, as Silicon Valley and Wall Street once again threw their weight behind a bright-eyed but untested investor who promised this time would be different. “Everybody always wants to find the next golden child,” said one longtime hedge fund executive. “It just keeps happening.”
In less than 24 hours — which included a conversation between Griffin and Aschenbrenner — Griffin’s Citadel hedge fund reached out to Situational Awareness and snapped up the investments at a discount, according to a person familiar with the matter who asked not to be identified citing private information.
It was a startling reversal for Aschenbrenner, a former researcher at OpenAI who – before starting his hedge fund roughly two years ago — had no previous investment experience. His fledging firm has watched its assets plunge from $45bn at the start of July to about $10bn.
Continue reading...Yemeni sources say Saudis concentrating forces for what could be attack in central Yemen
Saudi Arabia is preparing for a major military offensive against the Houthis by sea and possibly by land in central Yemen, Yemeni sources believe, in a move to break the chokehold on its oil exports through the southern Red Sea.
Saudi forces have been seen withdrawing from the east of Yemen in what could be preparation for a land offensive. At the same time, Riyadh is trying to organise a naval coalition to protect shipping from Houthi attacks in the Red Sea and the Bab al-Mandab strait.
Continue reading...The Houthi threat to Saudi oil exports comes as Japan, South Korea and the Philippines are still reeling from the closure of the strait of Hormuz
Governments in Asia are scrambling to avoid their second major energy crisis in six months, as another maritime chokepoint in the Middle East faces a violent blockade, leaving only the Suez canal completely open for the free movement of gulf oil.
Countries like Japan, the Philippines, Thailand and South Korea – which rely on Middle East oil for up to 90% of their imports – are working to secure supplies after Yemen’s Houthis launched a blockade of Saudi Arabian shipping passing through the Bab al-Mandab strait, which forms the southern entrance to the Red Sea.
Continue reading...Diplomats say de-escalation talks continue as Trump vows retaliation over US soldier deaths
The US military said it has launched its 10th consecutive round of strikes on Iran to force the reopening of the strait of Hormuz.
Earlier on Monday, Iran’s president said the country is in a “full-scale war” after the US expanded its aerial campaign and Tehran struck Washington’s Gulf allies, even as diplomats said talks to de-escalate were continuing.
Continue reading...Greenland Energy says billions of barrels of crude could lie beneath territory and claims it has permission to bring drilling kit ashore – a claim denied by Nuuk
On 10 June, a snowy-haired American in his 60s addressed the residents of a remote Greenland hamlet. He was there to tell them about a business venture supported by figures linked to Donald Trump. “So,” Robert Price said via an interpreter, “we have a project to drill for oil here.”
The Texas oil company that Price represents, Greenland Energy, hopes to prove that billions of barrels of crude lie underground by bringing in 300 shipping containers of drilling kit.
Continue reading...Beijing, whose stockpiles and renewables industry allowed it to withstand energy shock, is now gaining from global solar and EV push
China has emerged as the sole winner in Asia from the strait of Hormuz crisis, according to a report published on Tuesday.
The report by the Asia Group thinktank concluded that China had weathered the storm of the global commodities crisis resulting from the closure of the Middle Eastern waterway, and also stood to gain from the economic and geopolitical trends sparked by the wider conflict.
Continue reading...Stock markets on both sides of Atlantic up as concerns ease over prospect of another inflationary shock
Oil prices have fallen to pre-Iran war levels as more oil tankers exited the strait of Hormuz.
Brent crude, the global benchmark, fell to a low of $72.24 a barrel on Thursday, slightly lower than the day before the US and Israel launched missile attacks on Tehran on 28 February. Prices have fallen more than 20% this month.
Continue reading...Markets welcome US-Iran peace deal but prices may stay high as buyers race to refill depleted emergency crude stockpiles
After more than 100 days of the greatest recorded disruption to the world’s energy supplies, the global oil and gas markets have breathed a sigh of relief.
Hours after Donald Trump confirmed that a US-Iran peace deal would lead to the reopening of the strait of Hormuz for tankers carrying millions of barrels of oil and gas, the price of Brent crude tumbled to lows of $82 a barrel. Wholesale gas prices fell about 6%.
Continue reading...Brent crude falls as optimism rises that strait of Hormuz could reopen over the weekend
Global oil prices fell on Friday to lows not seen since the first week of the Iran crisis after Donald Trump claimed he was close to reaching a peace deal with Tehran.
The price of Brent crude began to tumble from about $93 a barrel in overnight trade after the US president called off further military strikes against Iran scheduled for the evening.
Continue reading...Brent crude futures down 6% to lowest level in two weeks and stock markets rise
Oil prices fell below $100 a barrel on Monday and stock markets rose on hopes that the US and Iran are inching closer to a peace deal.
Brent crude futures, the global oil benchmark, were down 6% to $97.43 a barrel, the lowest level in two weeks, with hopes that an agreement to end the near three-month US-Israeli war on Iran can be struck.
Continue reading...Global prices are approaching a tipping point that could trigger inflation, shortages and, over time, recession
If a US-Iran deal is about to be reached, three months on from the launch of Donald Trump’s Operation Epic Fury, it will not be a day too soon for oil markets, which are approaching a dangerous tipping point.
The cost of a barrel of crude on the spot market – for immediate purchase, effectively – has bounced about $100 since Iran predictably responded to the onslaught from the US and Israel by closing the strait of Hormuz.
Continue reading...Proposed framework hinges on a 60-day truce, reopening strait of Hormuz, and revived talks on limiting Iran nuclear programme
• Middle East crisis: live updates
Donald Trump has said a “memorandum of understanding” in talks to end the US-Israel war on Iran “has been largely negotiated”.
Official details of the deal remain scant and it remains possible some aspects of the memo could change, but here is what we know so far about the potential agreement that could bring an end to the war.
Continue reading...State oil company fast-tracks previously undisclosed project, which is expected to double export capacity
The United Arab Emirates has announced it will complete a new oil pipeline bypassing the strait of Hormuz by next year to secure its future crude exports against the threat of disruption.
The current blockade of the vital waterway, through which 20% of oil and seaborne gas flowed before the Iran war, is approaching the 11-week mark, sending energy prices soaring around the world and throttling Gulf economies.
Continue reading...Impact of disruption from Iran war may be felt into 2027 even if strait of Hormuz reopens, says aviation body boss
Increases in air fares for travellers in Europe are “inevitable” over the peak summer period because of the high cost of jet fuel, according to the head of the international aviation body.
While some airlines faced with weak demand have reduced their European fares recently, Willie Walsh, the former British Airways boss who leads the International Air Transport Association, said there was no way carriers could absorb the extra costs in the long run.
Continue reading...Moscow steps up maritime presence in North Sea after UK threats to seize shadow fleet oil tankers
Britain’s Royal Navy tracked and followed a Russian frigate every day last month as it sailed from the Atlantic to the North Sea, as Moscow steps up its maritime presence after UK threats to seize shadow fleet oil tankers.
The Russian navy’s Admiral Grigorovich escorted six Russia-linked vessels during April, including at least three under economic sanction passing east through the Dover strait, while being watched continuously by four UK ships and helicopters.
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