Iraq Economic News and Points To Ponder Friday Morning 3-6-26
Gold Prices Remain Stable Amid Assessment Of The Impact Of The Conflict In The Middle East.
Money and Business Economy News - Follow-up Gold prices were largely stable on Friday, after falling more than 1 percent in the previous session, as investors continued to assess the impact of escalating conflict in the Middle East on the global economy.
Spot gold was steady at $5,076.09 an ounce. U.S. gold futures for April delivery rose 0.1 percent to $5,084.50.
On the sixth day of the war, Iran launched a series of attacks on Israel, the UAE and Qatar.
U.S. Defense Secretary Pete Hegseth and Admiral Brad Cooper, who commands U.S. forces in the Middle East, said the United States has enough ammunition to continue bombing indefinitely.
The United States and Israel launched a military campaign against Iran on Saturday, including strikes on targets across the country, which Iran responded to with attacks across the region.
The price of gold, which is usually seen as a safe-haven asset, has risen by about 18 percent since the beginning of the year, hitting consecutive record highs amid increasing geopolitical and economic uncertainty.
As for other precious metals, silver rose 0.1 percent to $82.26 an ounce in spot trading. Platinum gained 0.1 percent to $2,124.05, and palladium climbed 1.1 percent to $1,639.7 https://www.economy-news.net/content.php?id=66411
Fitch Affirms The Resilience Of Gulf Banks In The Face Of Credit Risks
Banks Economy News - Follow-up Fitch Ratings said that the banking systems in the Gulf Cooperation Council (GCC) countries have a high capacity to absorb shocks and do not face immediate credit risks despite the regional tensions that have escalated following the attacks launched by the United States and Israel on Iran on February 28.
The agency confirms that the ratings of Gulf banks depend primarily on its expectations regarding the ability of governments to support the financial sector, which Fitch believes is currently available, as most Gulf countries possess huge assets that provide protection during periods of turmoil, even if energy revenues are subject to short-term disruptions.
Strong banks and ample liquidity
The agency notes that the Gulf banks it rates are highly financially sound, supported by strong liquidity and capitalization levels. Fitch expects these factors to help contain any potential risks if the conflict does not extend beyond one month.
Fitch believes that geopolitical risks have always been a key factor in assessing the creditworthiness of Gulf debt issuers, including banks. However, the current scale and regional expansion of the conflict are the most extensive in years.
The agency believes that the robustness of the operating environment will be the most important factor to monitor during the next phase, particularly the growth of non-oil sectors and investor confidence, as these represent a key pillar in determining the strength of banks' credit profiles.
Limited impact if the conflict remains short-term
Despite these challenges, Fitch affirms that if the confrontation remains short and energy infrastructure does not suffer significant damage, its impact on Gulf economic growth will be temporary.
Therefore, the agency expects the impact on loan growth, asset quality and bank profitability to be limited, with the possibility that some financial indicators will come in slightly weaker than its previous estimates, without this affecting the banks’ standalone credit ratings.
Strong capital with potential funding challenges
Fitch notes that the capital ratios of Gulf banks are generally strong, driven by good internal growth over the past years and stricter regulatory legislation.
The agency warns that the current conflict could pose greater challenges to debt issuance in global markets, potentially pushing some banks to rely more heavily on more expensive domestic funding. However, Fitch does not expect this shift to put serious pressure on creditworthiness, thanks to strong capital and liquidity levels.
Government fiscal policies after the end of the conflict will also have a direct impact, as public spending may support bank loan growth beyond current expectations if governments resort to broad stimulus plans.
https://www.economy-news.net/content.php?id=66388
Iraqi Ports: Supply Chains To Iraq Operating Normally In Areas Beyond The Strait Of Hormuz
Basra – INA The Director General of the General Company for Iraqi Ports, Farhan Al-Fartousi, confirmed on Wednesday that supply chains to Iraq are operating normally in areas beyond the Strait of Hormuz. He noted, however, that they are experiencing disruptions in areas before the strait, on the Arabian Sea side.
Al-Fartousi told the Iraqi News Agency (INA): “The internal supply chains, or kerbs, between Iraqi ports and ports in the region, that is, beyond the Strait of Hormuz towards Iraq, are still operating as needed.
However, those beyond the Strait of Hormuz, or through the Strait of Hormuz, are suspended for all types of tankers.” He explained that “there are approximately 16 or 17 ships currently in the waiting area, specifically at the Umm Qasr North and Umm Qasr South ports, meaning they are only for cargo.”
He added, "Work is ongoing and procedures are streamlined within the port," noting that "there is a department called ISPS (International Security Service) responsible for organizing security according to international requirements.
This ensures the smooth flow of operations and conditions, while simultaneously conveying to ships in the port and those in the waiting area that our ports are safe."
He explained that "the ports of the General Company for Iraqi Ports always operate according to the requirements of the International Maritime Organization, particularly regarding security systems. The port is functioning well and with high efficiency."
He stated that "there is a rapid mechanism, under the direction and personal supervision of the Prime Minister, for clearing goods without delay, with exceptional procedures implemented by all parties operating within the port." He pointed out that "this is to ensure the timely arrival of goods, especially during Ramadan, and to provide all possible facilities for traders, mitigating any potential issues, particularly given the difficult circumstances in the region."
Al-Fartousi emphasized "the necessity of adapting to the current circumstances and protecting our ports and the assets of traders within the port." https://ina.iq/en/economy/46103-iraqi-ports-supply-chains-to-iraq-operating-normally-in-areas-beyond-the-strait-of-hormuz.html
Oil Prices Fall Amid The Possibility Of US Intervention In The Futures Market
Follow up –INA Oil prices fell on Friday for the first time in six days as the U.S. government considered intervening in the futures market to halt rising prices and granted waivers to Indian refineries to buy Russian crude oil in an effort to ease supply constraints caused by the war in the Middle East.
Brent crude futures fell $1.14, or 1.33%, to $84.27 a barrel, while U.S. West Texas Intermediate crude futures dropped $1.46, or 1.8%, to $79.55. https://ina.iq/en/economy/46185-oil-prices-fall-amid-the-possibility-of-us-intervention-in-the-futures-market.html
Oil Prices Rise To $87 A Barrel
Follow up –INA Oil prices rose to $87 a barrel on Friday. Brent crude futures rose to $87 a barrel amid the war between Iran, the United States and Israel and the halt of oil tankers crossing the Strait of Hormuz.
https://ina.iq/en/economy/46192-oil-prices-rise-to-87-a-barrel.html
US Central Command Denies Carrying Out An Airdrop In The Najaf Desert
Today, 12:31 Follow up –INA The US Central Command denied on Friday that it had carried out an airdrop in the Najaf desert. The Central Command's media office said in media statements monitored by the Iraqi News Agency (INA) that "we currently have no operational reports to support the claim regarding reports that spoke of US forces carrying out an airdrop in the desert of Najaf Governorate in southern Iraq."
Iranian President: We Commit To Achieving Lasting Peace In The Region, Some Countries Began Mediations
Today, 15:16 INA – SOURCES Iranian President Masoud Pezeshkian confirmed on Friday that some countries have begun mediation efforts.
“Some countries have begun mediation efforts, and we are committed to achieving lasting peace in the region. However, we will not hesitate to defend the dignity and sovereignty of our nation," Pezeshkian stated on "X".
He added, "The mediators should address those who ignited the tension by disregarding the Iranian people."
Iraq Ranks Second Among Oil Exporters Using The Strait Of Hormuz
2026-03-06 Shafaq News- Baghdad Iraq accounts for more than one-fifth of oil shipments passing through the Strait of Hormuz, making it the second-largest exporter using the strategic route after Saudi Arabia, according to data from the US Energy Information Administration (EIA).
Around 20 million barrels of crude oil and condensates transit the strait each day, representing roughly 20–25% of global seaborne oil trade. Saudi Arabia leads with about 37.2% of the total volume, followed by Iraq at 22.8%. The United Arab Emirates contributes nearly 12.9%, while Iran accounts for about 10.6%, slightly ahead of Kuwait at roughly 10.1%. Qatar represents around 4.4%, with other producers collectively comprising about 1%.
The Strait of Hormuz carries roughly a fifth of global oil and liquefied natural gas flows. Iran’s Revolutionary Guard Corps (IRGC) declared it has “full control” over the chokepoint, while ship-tracking services showed dozens of tankers idling on both sides. US President Donald Trump said the US Navy could escort oil tankers if needed.
https://www.shafaq.com/en/Economy/Iraq-ranks-second-among-oil-exporters-using-the-Strait-of-Hormuz
Oil Retreats After Six-Day Rally As US Considers Futures Market Action
2026-03-06 Shafaq News Oil fell for the first time in six days as the U.S. government is considering potentially intervening in the futures market to blunt rising prices and has given waivers to Indian refiners to buy Russian crude to ease supply constraints from the Middle East war.
Brent crude futures were down $1.14, or 1.33%, to $84.27 per barrel and West Texas Intermediate down $1.46, or 1.8%, to $79.55 as of 0251 GMT.
The U.S. has taken the steps to ease the surge in prices after it, along with ally Israel, started a military conflict with Iran on February 28 that has halted tankers from moving through the Strait of Hormuz, which typically carries roughly one-fifth of the world's daily oil supply, shut refineries and oil output and shuttered liquefied natural gas plants in the key Middle East energy-producing region.
In the previous four trading sessions since the war started, Brent has climbed 18% while WTI has gained 21%.
A senior White House official said on Thursday, the U.S. Treasury Department is expected to announce measures to combat rising energy prices from the Iran conflict, including potential action involving the oil futures market, without providing any details.
The potential move would mark an unusual attempt by Washington to influence energy prices through financial markets rather than physical oil supplies.
To ease physical supply constraints, which have caused refineries, especially in Asia, to start reducing their fuel processing, the Treasury also granted waivers for companies to start buying sanctioned Russian oil stored on tankers.
The first waivers were given to Indian refiners who have responded by buying millions of barrels of prompt Russian crude oil cargoes, sources said, reversing months of pressure on them to halt the purchases.
Analysts cautioned that the recent gain in prices isrelatively subdued compared to other price shocks, particularly after the full-scale Russian invasion of Ukraine in 2022, when prices rose above $100 a barrel.
“While panic around surging oil prices appears to be spreading beyond market circles, it’s important to put this move into perspective: despite crude’s almost 20% surge this month, the price is currently just $3.40 above its average over the last four years,” IG analyst Tony Sycomore wrote in a note.