Iraq Economic News and Points To Ponder Friday Morning 3-13-26
Oil Prices Climb Despite US Move To Ease Supply Concerns
2026-03-13 Shafaq News Oil prices headed for weekly gains as of Friday, despite the U.S. trying to ease supply concerns by issuing a 30-day license for countries to buy Russian oil and petroleum products stranded at sea.
Brent futures for May rose 10 cents, or 0.1%, to $100.56 a barrel by 0400 GMT, heading for about a 9% weekly increase. U.S. West Texas Intermediate (WTI) crude for April was down 16 cents, or 0.2% at $95.57 a barrel, though also poised for a 7% uptick for the week.
The license was issued in what Treasury Secretary Scott Bessent said was a step to stabilise global energy markets roiled by the U.S.-Israeli war on Iran, but analysts said this has failed to resolve wider supply constraints.
"ICE Brent futures have already breached $100per barrel and are still supported today, despite moves to calm the markets with the Russian oil waiver and the unprecedented release of emergency stockpiles," said Emril Jamil, senior analyst at LSEG.
"The market sees this as a short-term solution that does not address the crux of the supply disruption. The crude intermonth spreads for future months indicate an unresolved and continued tightness in supply," Jamil said.
Brent is more supported than WTI as Europe is more susceptible to energy security issues, while the U.S. is able to stave off its exposure due to its domestic output, Jamil said.
Yang An, analyst at Haitong Futures, said: "Issuing the license has eased market concerns, but it won't resolve the most fundamental issue. The most important thing is the restoration of navigation in the Strait of Hormuz."
The announcement on Russian oil came a day after the U.S. Energy Department said the U.S. would release 172 million barrels of oil from its Strategic Petroleum Reserve to help curb skyrocketing oil prices.
That plan was coordinated with the International Energy Agency, which has agreed to release a record 400 million barrels of oil from strategic stockpiles, including the U.S. contribution.
Fleeting relief sparked by the IEA release, however, was shattered by a re-escalation of Middle East risks, IG analyst Tony Sycamore said in a note.
Both benchmark prices surged more than 9% on Thursday and hit their highest levels since August 2022.
Iran's new supreme leader Mojtaba Khamenei said Iran would fight on and keep the Strait of Hormuz shut as leverage against the United States and Israel.
Two fuel tankers in Iraqi waters were struck by explosive-laden Iranian boats, Iraqi security officials said on Thursday. An Iraqi official told state media that the country's oil ports have completely stopped operations.
Meanwhile, U.S. Treasury Secretary Scott Bessent told Sky News in an interview that the U.S. Navy, perhaps with an international coalition, would escort vessels through the Strait of Hormuz when it is militarily possible.
(Reuters) https://www.shafaq.com/en/Economy/Oil-prices-climb-despite-US-move-to-ease-supply-concerns
Gold Set For Second Weekly Drop As Oil Surge Dims Rate-Cut Hopes
2026-03-13 Shafaq News Gold prices were on track for a second consecutive weekly drop, despite edging up on Friday, as surging energy prices due to the Middle East war dimmed prospects for near-term U.S. interest rate cuts.
Spot gold was up 0.3% at $5,095.55 per ounce, as of 0633 GMT on Friday. U.S. gold futures for Aprildelivery fell 0.1% to $5,100.20.
The U.S. 10‑year Treasury yields eased, increasing the appeal of the non-yielding bullion.
Bullion, however, has lost more than 1% so far this week. Since the war started on February 28, it has dropped over 3% so far.
Fears of inflation and questions about the Federal Reserve's ability to cut interest rates if high oil prices persist are somewhatcounteracting gold's appeal, said Tim Waterer, KCM Trade chief market analyst.
"Given the ongoing uncertainty about the duration and scope of the conflict in the Middle East, I expect gold to remain on the radar for investors as a safety play."
Heightening geopolitical tensions, Iran's Supreme Leader Mojtaba Khamenei said on Thursday that Tehran will keep the strategic Strait of Hormuz closed as leverage against the U.S. and Israel, which has stoked concerns about global energy supply and risk assets.
Oil prices rose above $100 a barrel, as attacks on oil tankers in the Gulf and warnings from Iran shattered prospects of quick de-escalation in the Middle East conflict.
As oil prices surged, U.S. President Donald Trump again demanded Fed Chair Jerome Powell cut interest rates.
Traders, however, expect the Fed to keep rates steady in the current 3.5%-3.75% range at the end of its two-day meeting on March 18, according to CME Group's FedWatch tool.
While recent inflation data suggest price growth is under control, the war and the resulting spike in crude prices have yet to filter through the data.
Investors are awaiting the release of the delayed January Personal Consumption Expenditures Index, expected on Friday.
Gold discounts in India widened this week to their deepest point in nearly a decade as demand stayed subdued and some traders steered clear of paying import duties, while the escalating Middle East war boosted safe-haven demand in China.
Spot silver was down 1% at $82.91 per ounce. Spot platinum lost 1% to $2,111.45 and palladium fell 1% to $1,603.
(Reuters) https://www.shafaq.com/en/Economy/Gold-set-for-second-weekly-drop-as-oil-surge-dims-rate-cut-hopes
Kirkuk Crude Exports To Turkiye Restart Via Kurdistan Route
2026-03-13 Shafaq News- Kirkuk Oil exports from Kirkuk fields to Turkiye’s Mediterranean port of Ceyhan resumed on Friday through the Kurdistan Region’s pipeline network after a four-day halt, a source at Iraq’s state-run North Oil Company told Shafaq News.
The source described the restart as gradual, with initial export volumes estimated at about 100,000 barrels per day, expected to rise in the coming days as pumping operations stabilize.
Technical teams at the company monitored the export system during the suspension and coordinated with authorities in the Kurdistan Region, helping restore flows after the temporary stoppage.
Earlier this week, an oil-sector source told our agency that exports from fields in the Kurdistan Region and Kirkuk through the Iraq–Turkiye pipeline had been temporarily suspended after several companies operating in the Region halted production, reducing the crude available for export.
https://www.shafaq.com/en/Economy/Kirkuk-crude-exports-to-Turkiye-restart-via-Kurdistan-route
Read more: Hormuz lockdown: Iraq’s economic lifeline under threat
The Dollar Is Rising Amid A Lack Of Signs That The War With Iran Is Ending.
Money and Business Economy News - Follow-up The dollar rose to its highest level in more than three months on Friday and is on track for its second weekly gain since the start of the war in Iran, as traders shied away from risk and turned to the US currency as a safe haven.
The euro fell to its lowest level since November, while Japan indicated it was prepared to take measures to hedge against the decline of the yen, which reached its lowest level in 20 months.
Amid rising oil prices, the United States allowed the sale of some Russian petroleum products that had been subject to sanctions due to Moscow's military actions in Ukraine. Iran escalated its attacks on oil and transportation facilities in various parts of the Middle East, with the new Supreme Leader, Mojtaba Khamenei, vowing to keep the Strait of Hormuz closed.
Gavin Friend, senior market analyst at National Australia Bank in London, said in a podcast: "Right now, the market has a new focus. It's not diversification, it's inflation, low growth... It's a combination, a toxic combination, of high inflation and low growth that will occur the longer this crisis lasts."
The dollar index, which measures the performance of the US currency against a basket of major currencies, hit its highest level since November 26, partly due to its appeal as a safe haven, but also because the United States is a net exporter of energy.
The index rose 0.16% to 99.83, on track for a 1% gain this week. The euro fell 0.08% to $1.1501, a level not seen since November 21.
The yen fell to 159.69 against the dollar, its weakest level since July 2024. The pound sterling lost 0.08% to $1.333.
The United States and Israel began airstrikes on Iran about two weeks ago that killed the country’s supreme leader, prompting Tehran to launch attacks that have widened the conflict and halted almost all shipping from the Gulf.
The Financial Times, citing sources, reported that the Trump administration had consumed enough vital munitions to last for years since the start of the war with Iran. Meanwhile, in western Iraq, the United States is conducting rescue efforts following the crash of a military refueling aircraft.
The International Energy Agency (IEA) on Wednesday approved the release of 400 million barrels of oil from strategic reserves, an unprecedented level. The United States on Thursday issued a 30-day waiver allowing countries to purchase Russian petroleum products currently stranded at sea.
Japanese Finance Minister Satsuki Katayama said today that Japan is prepared to take any necessary steps against yen movements that affect people's lives, adding that she is in close contact with US authorities regarding foreign currencies.
When the yen fell to a critical level of 160 yen to the dollar in January, the United States conducted so-called "exchange rate checks" that often foreshadow intervention, which helped the Japanese currency to rise.
Tony Sycamore, an analyst at IG Markets, said that Japan, as a major energy importer, is facing a double whammy from the Middle East crisis due to rising energy costs and the yen's declining appeal as a safe haven.
Traders are also focusing on central bank meetings next week in the United States, Europe and Japan to assess how policymakers will react to the possibility of a crisis due to energy prices.
The movement in the swap market indicates that traders expect the European Central Bank to raise interest rates, possibly in June, while the Federal Reserve may keep them unchanged until December before taking the step of cutting them, after previous expectations pointed to July.
The Australian dollar fell 0.18% against the US dollar to $0.7061. The New Zealand dollar declined 0.44% to $0.5828.
As for cryptocurrencies, Bitcoin rose 1.90% to $71,527.50, and Ether jumped 2.23% to $2,109.03.