Iraq Economic News and Points To Ponder Friday Morning 8-14-26
Gold Retreats From Two-Month High On Profit-Taking
2026-08-14 Shafaq News Gold prices slipped on Friday and were headed for a weekly loss as investors locked in profits after mild U.S. inflation data propelled bullion to its highest level in more than two months and weakened the case for a near-term Federal Reserve rate hike.
Spot gold was down 0.6% at $4,324.39 per ounce, as of 0538 GMT. While U.S. gold futures for December delivery slid nearly 1% to $4,379.20.
Bullion climbed to its highest point since June 5 on Thursday, before settling 1.3% lower and setting it on track for a weekly loss.
"There is some episodic and more speculative capital that's maybe taking a bit of profit in gold, because there's not a near-term catalyst quite so potent immediately in front of us," said Ilya Spivak, head of global macro at finance content network Tastylive.
"Gold may be setting up, with some choppy trading along the way, for a meaningful rally now. And if we can take out $4,400, I don't think $5,000 by year end is any kind of a sketch."
The non-yielding metal got a boost after an unexpected drop in U.S. July nonfarm payrolls last week, followed by softer inflation data this week, sharply reducing expectations of a rate hike next month.
U.S. producer prices were unchanged in July, following a revised 0.1% drop in June, while U.S. consumer prices barely increased last month as the cost of gasoline declined for a second consecutive month.
Traders are now pricing only a 33% chance of a rate hike in September, down from about 55% last week, according to the CME FedWatch Tool. FEDWATCH
Lower interest rates make gold more attractive relative to yield-bearing assets.
On the geopolitical front, Washington on Thursday threatened to maintain a naval blockade of Iran indefinitely, ratcheting up economic pressure on Tehran as ceasefire talks have floundered.
In other metals, spot silver slipped 0.9% to $63.88 per ounce.
Platinum slipped 0.4% to $1,711.10, while palladium inched 0.1% higher at $1,308.25, both touching their lowest levels since August 4 earlier in the session. Both metals were headed for a weekly drop. (REUTERS)
https://www.shafaq.com/en/Economy/Gold-retreats-from-two-month-high-on-profit-taking
Basrah Medium Posts $6.73 July Loss
2026-08-13 Shafaq News- Baghdad Iraq’s Basrah Medium crude fell $6.73 per barrel in July to average $78.37, marking the fourth-largest monthly decline among the Organization of the Petroleum Exporting Countries (OPEC) basket crudes, according to the organization’s latest report.
The Iraqi grade slipped from $85.10 in June but averaged $91.24 during the first seven months of 2026, about 28% above its $71.27 average last year.
Kuwait Export posted the steepest monthly loss of $10.26 per barrel, followed by Arab Light at $9.01 and Iran Heavy at $8.70.
OPEC’s Reference Basket shed $6.76 to $82.99 per barrel in July, from $89.75 a month earlier. Its January-July average reached $92.04, compared with $71.88 in 2025.
https://www.shafaq.com/en/Economy/Basrah-Medium-posts-6-73-July-loss
Iraq Ships 49M Barrels, Advances Basra-Fishkhabur Pipeline
2026-08-14 Shafaq News- Basra Iraq exported about 49 million barrels of crude oil in July, while talks with Iran and the United States continue over the passage of Iraqi shipments through the Strait of Hormuz, Oil Minister Basim Mohammed Khudair Al-Abadi announced on Friday.
Speaking at a joint press conference with Basra Governor Asaad Al-Eidani, Al-Abadi said four tankers were loaded with crude today and are preparing to sail. Daily exports have averaged two million barrels since the beginning of August, "the first time Iraq has reached that level since the regional crisis began."
The Oil Ministry, through the State Organization for Marketing of Oil (SOMO), Basra Oil Company, and other companies, is also pursuing exceptional contracts to increase exports.
Al-Abadi reaffirmed plans for a strategic pipeline linking Basra to Fishkhabur near the Turkish border to diversify Iraq’s oil export outlets and avoid potential disruptions to energy shipments through Hormuz.
The project will be implemented by a consortium comprising Chevron, IT Capital, and Qatar’s UCC under an agreement signed in Washington during the Iraqi government delegation’s visit to the United States in July. Running from Basra to Fishkhabur, with a branch extending to Baniyas on Syria’s Mediterranean coast, the pipeline was previously delayed by financial constraints but would connect crude supplies to refineries across Iraq for the first time, increase exports through the Turkish port of Ceyhan, modernize oil infrastructure, boost state revenues, and create jobs.
Hormuz will remain an important export route alongside Ceyhan and other outlets under the government’s strategy, he added.
Read more: No exit but Hormuz: Iraq’s economic vulnerability exposed
Iraq, OPEC’s second-largest oil producer, ships about 90% of its crude exports through the Strait of Hormuz, leaving the country particularly exposed to disruptions in the waterway, which normally carries roughly one-fifth of global oil supplies. Parliamentary Oil Committee member Zainab Al-Khazraji previously told Shafaq News that Jordan is also being considered as a potential outlet for Iraqi crude.
Read more: Iraq's oil revenues under US financial guard 23 years after invasion
Al-Eidani, in turn, pointed to plans to develop the Faihaa field and other oil fields in Basra, establish an extensive pipeline network, and increase the use of associated gas to fully supply power stations, with any future surplus intended for export through Iraqi ports.
https://www.shafaq.com/en/Economy/Iraq-ships-49M-barrels-advances-Basra-Fishkhabur-pipeline
Kirkuk-Ceyhan Oil Exports Fall To Around 130,000 Bpd
2026-08-13 Shafaq News- Baghdad/ Erbil/ Ankara Iraq’s northern oil exports have fallen to between 120,000 and 135,000 barrels per day (bpd) from nearly 300,000 bpd about a month ago, three Iraqi oil sources told Shafaq News on Thursday.
The drop was caused by suspended production at several Kurdistan Region fields and the halt of roughly 90,000 bpd of Basrah crude that had been routed north through Kirkuk for export to Turkiye. Security conditions also prompted foreign operators in the Kurdistan Region to reduce or suspend activity at some fields, cutting production by about 60,000 bpd.
Exports are currently holding near 130,000 bpd through the northern pipeline system to Turkiye’s Mediterranean port of Ceyhan. The sources said volumes could recover by around 150,000 bpd if production resumes at the affected Kurdistan Region fields and Basrah crude again flows north.
On July 31, Iraq and Turkiye signed a one-year agreement covering the Iraq-Turkiye pipeline and providing for around 750,000 bpd of export capacity through Ceyhan after the expiry of the previous pipeline agreement, with Baghdad and Ankara continuing negotiations on a longer-term framework.
The northern route has gained strategic importance during the Hormuz crisis. Iraq exported only 10 million barrels through the strait in April, down from about 93 million barrels a month before the regional war disrupted Gulf shipping, according to Oil Minister Basim Mohammed.
https://www.shafaq.com/en/Economy/Kirkuk-Ceyhan-oil-exports-fall-to-around-130-000-bpd
Oil Rises On US Threat of Indefinite Iran Blockade
2026-08-14 Shafaq News Oil prices inched up on Friday after the United States threatened an indefinite naval blockade of Iran, reviving concerns about supply of crude after the previous session's fall on a weaker outlook for demand and a large build in U.S. stocks.
Brent futures rose 1 cent, or 0.1%, to $87.08 a barrel by 0247 GMT, while U.S. West Texas Intermediate (WTI) crude futures rose 6 cents to $81.31 a barrel.
The benchmarks were on track for weekly rises of about 4% after the prior session's fall of more than 2%, paring gains following Brent's six-session rally and a five-session rise for WTI.
"Despite the bearish crude stock data, the broader geopolitical backdrop is preventing a sharper price decline," Susan Bell, senior vice president for oil commodity markets at Rystad Energy said in a note.
On Thursday, the United States warned that it could maintain a naval blockade of Iran indefinitely and ramp up economic pressure on Tehran as ceasefire talks have stalled.
"Watch this space for more announcements coming next week because we are going to apply measures like have never been seen in the history of economic isolation of a country," Treasury Secretary Scott Bessent told Newsmax's "Rob Schmitt Tonight" programme in an interview.
The latest U.S. threats come as Iran curbs traffic through the Strait of Hormuz, which carried 20% of the world’s oil before the conflict, driving up fuel prices and putting pressure on President Donald Trump to end a war that is unpopular at home.
The strait is "under the management and control of the Islamic Republic", however, the recently appointed head of Iran's Basj paramilitary unit, Hossein Taeb, has said, according to the semi-official Fars news.
The prospect of a longer war constraining supply was offset this week by forecasts from OPEC and the International Energy Agency lowering outlooks for demand growth, while data showed the largest weekly gain in U.S. crude stocks for more than 3-1/2-years.
KCM chief market analyst Tim Waterer said the two forces were acting as counterweights.
"The result is a market that remains supported but struggles to break meaningfully higher while these opposing pressures remain in place."
Two vessels from the state-owned Abu Dhabi National Oil Company were attacked transiting the Strait of Hormuz on Thursday, said UAE state news agency WAM, an incident the United Arab Emirates government condemned as an Iranian attack. (REUTERS) https://www.shafaq.com/en/Economy/Oil-rises-on-US-threat-of-indefinite-Iran-blockade