Iran Attacks Spur Maritime Incidents, Oil Prices Drop

The UAE Ministry of Defense detected and intercepted missiles originating from Iran. Merchants' expectations for the strait's resumption of passage have been clearly postponed due to geopolitical news and stalled negotiations. The attacks are expected to impact not only Asia but also many other regions globally. On the same day, a drone attack from Iran caused a fire in the local oil industry zone in Fujairah, Oman, injuring three people. The impact is expected to affect Asia, which is highly dependent on the Middle East, and many other parts of the world. The International Monetary Fund chair stated that if the Middle East conflict extends to 2027 and oil prices reach around $125 per barrel, it will further exacerbate impacts on prices and economic growth. The 39th Canton Fair concluded yesterday, attracting over 310,000 overseas buyers, setting new records in all core indicators. According to prediction platform Kowshi, merchant expectations for the strait's reopening have been clearly postponed amid new geopolitical news and a lack of breakthroughs in negotiations. The platform's data indicates the first interest rate hike in over two years. On March 17th, Australia raised its benchmark interest rate by 25 basis points to 4.1% for the second time this year. As of May 4th, 314,000 overseas buyers from 220 countries and regions attended, an increase of 1.1% from the 138th session. The fair hosted 407 leading buyer companies and 154 overseas business organizations.