Dangerous temperatures are expected to blanket the eastern US this week, with new records anticipated from Illinois to Maine. Ninety-eight major cities are expected to see dangerous levels of heat this week, with the mercury easily topping 100 degrees Fahrenheit in Memphis, Baltimore, Pittsburgh, and Burlington, VT. Temperatures in New York and New England will be about 20 degrees above average, though humidity will make things feel even hotter.
New risks to the global economy emerged following the US’ airstrikes...
New risks to the global economy emerged following the US’ airstrikes on three Iranian nuclear sites on Saturday (early Sunday local time). President Trump called the action a “spectacular military success” toward his goal of destroying Iran’s nuclear enrichment capacity and stopping the nuclear threat from the nation.
All eyes are on the Strait of Hormuz, which flows between Iran and Oman. About 20% of the world’s oil and gas supply needs to travel through it. The Iranian Parliament voted in favor of shutting down the strait in response to the US’ attacks, which Secretary of State Marco Rubio said would be “suicidal” if acted upon, given its economic impact. While that move would snarl US oil supply from neighboring nations, it would also affect China, Iran’s key ally and biggest oil buyer.
Commercial airlines are exercising caution. Since the fighting began between Israel and Iran, over 150 air carriers stopped flying over Israel, Iraq, and Jordan as a precaution. This weekend, British Airways and Singapore Airlines canceled or diverted flights to Dubai and Doha following the US action in Iran. More disruptions could follow.
Markets: Until now, Wall Street has mostly shrugged off the Israel–Iran conflict in the Middle East, with the S&P 500 and Nasdaq closing just a hair lower for the week on Friday. Investors’ thinking could—or could not—change this coming week, after the US entered the war on Saturday with strikes on key Iranian nuclear infrastructure. All eyes are on oil prices, which, due to the war, are having their most volatile stretch since Russia invaded Ukraine in 2022.
Parishioners and staff members at CrossPointe Community Church in suburban Detroit killed an active shooter and “prevented a mass shooting,” the local police chief said.
The salvage operation for the Bayesian superyacht, which sank off the coast of Sicily last year, claiming the lives of UK tech entrepreneur Mike Lynch and six others, was completed yesterday.
Pixar banked its lowest opening ever this weekend with Elio, which made $21 million at the domestic box office.
NBA legend Kevin Durant got traded to the Houston Rockets, which he found out about on stage at Fanatics Fest.
And the Oklahoma City Thunder won Game 7 of the NBA Finals, beating the Indiana Pacers to take home their first championship.
US Drillers Cut Oil and Gas Rigs for Eighth Week in a Row
(Reuters) – U.S. energy firms cut the number of oil and natural gas...
(Reuters) – U.S. energy firms cut the number of oil and natural gas rigs operating for an eighth week in a row for the first time since September 2023, energy services firm Baker Hughes said in its closely followed report on Friday.
The total oil and gas rig count, an early indicator of future output, fell by one to 554 in the week to June 20, the lowest since November 2021.
This week’s decline brings the total number of rigs down 34, or 5.8% from this time last year.
Oil rigs fell by one to 438 this week, their lowest since October 2021, while gas rigs fell by two to 111, their lowest since May 30.
Oil traders and global investors await Iran’s response to U.S. strike
Iran’s ability to choke off the Strait of Hormuz, the...
Iran’s ability to choke off the Strait of Hormuz, the crucial waterway connecting the Persian Gulf with the Gulf of Oman and the Arabian Sea, is a key question for investors. But it isn’t the only concern when it comes to flows of crude and other energy products out of the Middle East.
The potential for Iran to shut down shipping routes, particularly the strait, through which ships carrying roughly 20 million barrels a day of oil and oil products and 20% of the world’s liquefied-natural-gas supply, has long served as a boogeyman for investors, oil traders, shippers and world leaders. Now that threat is front and center following President Donald Trump’s decision to involve the U.S. directly in the Israel-Iran war Saturday by bombing Iranian nuclear sites.
“My initial take is that while odds of a full closure of the Strait of Hormuz remain below 50%, they are clearly higher than they were on Friday,” Rebecca Babin, senior energy trader and managing director at CIBC Private Wealth in New York, told MarketWatch.
“If the Strait of Hormuz became non-navigable, it would constitute pretty much an unprecedented negative supply shock for the energy markets, at least in recent history,” said Minna Kuusisto, chief analyst at Danske Bank in Copenhagen, in a Sunday note.
