The closures, visible on streets from the capital to Vladivostok 6,500 km east on the Pacific Ocean, point to a significant slowdown in Russia’s US$2.8 trillion economy, which has so far proved surprisingly resilient in the face of stringent Western sanctions.
Why ending the war in Iran is getting harder
President Trump boards Air Force One Wednesday on his way to Dover Air Force Base to pay his respects to six U.S. service members who were killed last week. Jim Watson/AFP via Getty Images hide caption
Yesterday, Iran warned that if the United States were to strike its electricity production facilities, it would respond with harsh retaliation against the U.S. and its allies. Iranian officials stated that energy infrastructure in allied countries is within range of Iranian missile strikes and could be targeted in response.
Today, Donald Trump announced that he is extending the deadline for Iran to reopen the strait for commercial shipping from the previously stated three days to five days.
Escalating Conflicts and Economic Implications
In a recent discussion on Bloomberg’s China Show, former President Donald Trump asserted that he “knew nothing” about the Israeli military’s attack on Iran’s South Pars gasfield. This revelation comes at a time of increasing hostilities between Iran and Israel, particularly concerning military strikes on energy facilities across the Middle East. As tensions rise, the implications for global energy markets and economic stability are becoming increasingly pronounced.
MOSCOW, March 30. /TASS/. Vladimir Zelensky’s actions may soon lead to US President Donald Trump "politically eliminating" him, Scott Ritter, a former US Marine Corps intelligence analyst and former United Nations arms inspector in Iraq, told TASS in an interview.
Crude oil markets experienced intense volatility between March 8 and March 12 as traders reacted to escalating geopolitical tensions, threats to global oil shipping routes, and emergency supply measures from major consuming nations.
Is the world truly facing an energy crisis, or is the situation being amplified by financial markets and speculation? A closer look at the numbers suggests that the reality may be far less dramatic than headlines imply.
At the center of current concerns is the Middle East, particularly the risk of disruptions around the Strait of Hormuz. Several key oil producers in the region are often cited as critical to global supply. Iran produces around 4 million barrels of oil per day, Iraq another 4 million. Kuwait contributes approximately 2 million barrels, Qatar about 1.5 million, and the United Arab Emirates between 1 and 1.5 million barrels per day.
The closure of the strait of Hormuz is causing a “paralyzing, real-time problem” for any prospective manufacturing surge in the US defense industrial base, and even for the repair of defense equipment damaged by Iranian attacks, according to analysis published by West Point’s Modern War Institute.
Demand for geopolitical analysis is rising, as asset managers and corporate investors seek guidance on the best way to price in risk from wars, territorial saber-rattling and global political risk.
The need for such advice was highlighted this week when the US threatened various countries with tariffs unless a deal was reached over the US taking control over Greenland, causing a rollercoaster reaction in markets.
Other geopolitical events that have roiled markets include Russia's 2022 invasion of Ukraine, US President Donald Trump's 2025 call for broad tariffs and subsequent negotiations with individual countries, and this month's US intervention in Venezuela.
According to The Wall Street Journal, Donald Trump delayed plans to strike Iran’s energy infrastructure after behind-the-scenes diplomatic discussions. Arab states are seeking ways to end the war, and Egyptian intelligence officials reportedly succeeded in establishing contact with Iran’s Revolutionary Guard.
Foreign ministers from Egypt, Turkey, Saudi Arabia, and Pakistan gathered in Riyadh last Thursday for talks. According to Arab officials familiar with the matter, they faced a major challenge: finding a negotiating partner within Iran.