Iraq Economic News and Points To Ponder Thursday Afternoon 10-15-26
Oil Prices Dip On Easing US Shipping Sanctions
2026-10-15 Shafaq News Oil prices fell more than 1% on Thursday as investors weighed risks to supply from attacks on shipping through the Strait of Hormuz against US efforts to cut petroleum shipping costs by easing sanctions on vessels.
Brent crude futures fell $1.64, or 1.6%, to $104.42 a barrel by 0337 GMT, while US West Texas Intermediate crude futures were down 98 cents, or 1%, to $94.11, reversing gains from the previous session.
WTI rose to a three-week high in the prior session after the Houthis attacked Saudi Aramco's headquarters and Iran said it was deploying new tactics to target ships in the Strait of Hormuz and keep oil prices high.
A container ship and a dry bulk carrier both sank near the strait in the past 24 hours after being hit by projectiles in separate incidents, maritime officials said on Wednesday.
Attacks around the waterway have surged over the past 10 days, with Iran saying it is stepping up strikes in response to the US blockade of its ports and tougher sanctions introduced last month.
With the Iran war having disrupted shipping and driven up freight costs to record highs, the Trump administration is considering easing sanctions on so-called shadow-fleet vessels that have transported oil and petroleum products from countries including Russia, Iran and Venezuela to help ease prices, a US official said on Wednesday.
The new talks centre on the United States potentially allowing "legal oil" to flow on previously sanctioned vessels, the US official said.
Increased output from Russia and the Middle East has kept a lid on prices. Russia's crude oil production rose by 65,000 barrels per day in September to 8.43 million bpd but remained down 870,000 bpd year over year, the International Energy Agency said on Wednesday.
The IEA also said crude oil exports from Middle East Gulf producers rose by 4.4 million bpd in September to around 75% of prewar levels.
"While there is little concrete evidence of a near-term peace deal, oil continues to find its way to buyers through alternative routes and logistical arrangements," said Phillip Nova's head of market insights, Priyanka Sachdeva, in a client note.
"These workarounds have helped prevent a more severe supply shock, although they come at a higher cost and leave global flows vulnerable to further disruption."
In the US, crude oil and distillate inventories fell, while gasoline stocks rose last week, market sources said on Wednesday, citing data from the American Petroleum Institute.
Crude stocks fell by 11.1 million barrels in the week ended October 9, sources said. That was a much bigger draw than analysts polled by Reuters expected.
"Despite the sharp inventory draw, oil prices barely reacted. The failure to rise on bullish news suggests investors are cautious about chasing prices higher at current levels," said Haitong Futures in a note on Thursday.
Official numbers from the US Energy Information Administration are due at 12 p.m. EDT (1600 GMT), delayed by a day following the Columbus Day holiday on Monday. (REUTERS)
https://shafaq.com/en/Economy/Oil-prices-dip-on-easing-US-shipping-sanctions
IMF warns of severe economic risks across Middle East
2026-10-15 Shafaq News- Bangkok A prolonged war in the Middle East and further disruptions to energy production, shipping routes, and critical infrastructure pose the biggest risks to economies across the Middle East and Central Asia, the International Monetary Fund said on Thursday.
"The outlook depends critically on how quickly energy production and trade normalize, and on countries' ability to preserve macroeconomic stability," Jihad Azour, the IMF's director for the Middle East and Central Asia, told a news conference during the IMF and World Bank annual meetings in Bangkok.
He noted that pre-war fiscal surpluses, alternative shipping routes, adjustments in demand, and heavy withdrawals from inventories had helped cushion the impact of the energy shock triggered by US-Israeli attacks on Iran and Tehran's subsequent closure of the Strait of Hormuz.
"These buffers bought time, but they are finite. Inventories are lower, spare capacity is tighter," he said, warning that further disruptions could trigger much larger price adjustments.
The IMF expects the economy of the Middle East, North Africa, and Pakistan to contract by 1.3% in 2026, following growth of 3.3% in 2025, before rebounding sharply to 6.6% in 2027, Azour said. He cautioned, however, that the recovery would vary significantly across the region.
In the Caucasus and Central Asia, growth is forecast to slow to 5.2% in 2026 and 5% in 2027, down from 6.2% in 2025. Azour noted that the region had weathered the shock relatively well, while inflation is expected to continue easing from elevated levels. https://shafaq.com/en/Economy/IMF-warns-of-severe-economic-risks-across-Middle-East
Basrah Crudes Rise Despite Benchmark Losses
2026-10-15 03:29 Shafaq News- Basrah Iraq's Basrah crude prices climbed less than 1% on Thursday, despite declines in benchmark crude futures.
Basrah Heavy crude gained 31 cents, or 0.42%, to $73.86 per barrel, while Basrah Medium crude added the same amount, or 0.40%, to $76.86 per barrel.
Brent crude slipped $1.64, or 1.6%, to $104.42 per barrel. US West Texas Intermediate (WTI) crude shed 98 cents, or 1%, to $94.11 per barrel.
The OPEC reference basket retreated $1.73, or 1.52%, to $112.30 per barrel.
https://shafaq.com/en/Economy/Basrah-crudes-rise-despite-benchmark-losses-5
USD/IQD slips in Baghdad and Erbil 2026-10-15 Shafaq News- Baghdad/ Erbil The US dollar opened Thursday’s trading lower in Iraq, hovering around 166,400 dinars per 100 dollars.
According to a Shafaq News market survey, the dollar traded in Baghdad’s Al-Kifah and Al-Harithiya exchanges at 166,500 dinars per 100 dollars, down from the previous session’s 167,000 dinars.
In the Iraqi capital, exchange shops sold the dollar at 167,000 dinars and bought it at 166,000 dinars, while in Erbil, selling prices stood at 166,350 dinars and buying prices at 166,250 dinars. https://shafaq.com/en/Economy/USD-IQD-slips-in-Baghdad-and-Erbil-2
Gold Prices Tick Down Across Baghdad, Erbil
2026-10-15 Shafaq News- Baghdad/ Erbil On Thursday, gold prices edged lower in Baghdad and Erbil markets, hovering around 965,000 IQD per mithqal, according to a Shafaq News survey.
Gold prices on Baghdad’s Al-Nahr Street recorded a selling price of 970,000 IQD per mithqal (equivalent to five grams) for 21-carat gold, including Gulf, Turkish, and European varieties, with a buying price of 966,000 IQD. The same gold sold for 973,000 IQD on Wednesday.
The selling price for 21-carat Iraqi gold stood at 940,000 IQD, while the buying price reached 936,000 IQD.
In jewelry stores, the selling price per mithqal of 21-carat Gulf gold ranged between 970,000 and 980,000 IQD, while Iraqi gold sold for between 940,000 and 950,000 IQD.
In Erbil, 22-carat gold was sold at 1,025,000 IQD per mithqal, 21-carat gold at 978,000 IQD, and 18-carat gold at 837,000 IQD. https://shafaq.com/en/Economy/Gold-prices-tick-down-across-Baghdad-Erbil
BP Partnership Takes Over Kirkuk's Four Oilfields
2026-10-15 Shafaq News- Kirkuk Operations at Kirkuk's four main oilfields passed on Thursday from Iraq's state-run North Oil and North Gas companies to a joint operating body with BP, which aims to lift output to 450,000 barrels per day, Iraq's Oil Ministry said.
Oil Minister Basim Mohammed Khudair oversaw the handover of the Kirkuk, Bai Hassan, Khabbaz and Jambur fields by video link, according to the ministry. The project also targets the capture and use of 500 million standard cubic feet of gas a day.
Khudair described BP as an effective strategic partner and said the ministry would give the British company the support it needs. Reaching the targets will require round-the-clock work, he added.
The next phase will include training ministry staff and transferring expertise and technology, according to the minister. The project also includes building services and facilities for local communities. https://shafaq.com/en/Economy/BP-partnership-takes-over-Kirkuk-s-four-oilfields