Bloomberg

Lead Story

Global markets are bracing for severe energy-price shocks as US President Donald Trump vows to bring “Hell” and aggressively escalate strikes on Iranian power plants and bridges following the successful rescue of a missing American airman. The fiery ultimatum has already jolted asset classes before the trading week even begins, driving up oil prices while gold declined as geopolitical tensions flared. Furthermore, Trump’s threats are raising profound concerns over the security of global commerce and shipping through the Persian Gulf, even as an Iraqi oil tanker was seen transiting the Strait of Hormuz via a northerly route through Iranian waters.

Markets & Economics

• OPEC+ Plans Symbolic Oil Quota Hike Amid War: OPEC+ members are preparing to raise their production quotas for May in a largely symbolic move, as the escalating conflict in the Middle East inherently constrains output and shipments from the alliance’s largest producers.
• Chinese Bonds Near Inflection Point as Inflation Outlook Shifts: Chinese bond yields are set to climb from record lows, signaling a historical turning point for the market as deflationary pressures ease and expectations for monetary easing recede.
• Indian Bank Stocks’ $95 Billion Rout May Deepen on Macro Risks: India’s banking sector—the largest component of the national stock market—is bracing for further pain as central bank currency interventions and economic shocks from surging energy prices batter profit outlooks.

Business & Industries

• Danantara Advances Asset Manager Merger With $159 Million Deal: Indonesia’s sovereign wealth fund is advancing a strategic plan to combine the asset management units of state-owned lenders to dramatically boost their regional competitiveness.
• Borouge Suspends Abu Dhabi Plant Operations After Multiple Fires: Borouge Plc has abruptly halted operations at its major petrochemicals facility following multiple fires, according to the Abu Dhabi government media office.
• Italy Sets Jet Fuel Limits at Some Airports on Supply Shortage: Several Italian airports have issued advisories rationing fuel supplies for the coming days as the protracted Middle East conflict severely disrupts global supply chains.
• Prediction Markets Create New Insider Trading Headaches for Executives: Corporate executives are facing mounting pressure to implement strict internal policies and controls as the rise of prediction markets generates novel insider trading risks.

Policy & World

• Serbia’s Vucic Says Explosive Found at Gas Pipe Near Hungary: Serbian police and military forces discovered explosives of “devastating power” near a critical gas pipeline that supplies both Serbia and neighboring Hungary.
• Congo Is Latest Country to Take Third Country Deportees From US: The Democratic Republic of Congo has agreed to accept third-country nationals deported by the US government, joining several other African nations willing to facilitate the transfers.
• Debanking Is a Confusing Nightmare. It’s at Risk of Getting Worse: Financial regulators appointed by President Trump are reshaping existing rules to make it significantly harder for banks to abruptly eject clients over suspicious behavior.
• The British Military Sees Youth Jobs Crisis as an Opportunity: The UK government is actively capitalizing on a severe youth unemployment crisis to boost recruitment and replenish its significantly depleted armed forces.

Opinion & Analysis

• Will DHS Chaos Red-Card the World Cup?: Bloomberg Opinion argues that the ongoing partial shutdown and operational chaos at the Department of Homeland Security could severely disrupt and damage the upcoming FIFA World Cup tournament.
• Bluesky Needs to Burst Its American Bubble: An analysis of current social media dynamics argues Bluesky must aggressively expand its user base beyond the US to fully capitalize on the continued deterioration of X.
• The Rural Health Transformation Program Isn’t So Transformational: The editorial warns that the decades-long crisis in rural health care will inevitably become much more dire when steep Medicaid cuts take effect next year.