Iran has warned global markets to prepare for oil at US$200 per barrel , escalating rhetoric as attacks intensify and shipping through the Strait of Hormuz remains effectively frozen. While oil prices have retreated from recent highs near US$120, Tehran’s message underscores the growing risk of a prolonged energy shock. Key Takeaways Iran warns oil could surge to US$200 per barrel Strait of Hormuz remains blocked, disrupting 20% of global oil flows 14 merchant ships reportedly struck since conflict began IEA expected to propose record 400 million-barrel reserve release Markets currently betting conflict may be contained Oil Market on Edge Iran’s military command said oil prices depend on regional security — warning the world to prepare for US$200 crude if instability persists. The Strait of Hormuz, a narrow chokepoint along Iran’s coast, normally handles: About 20% of global oil shipments A significant share of global LNG trade So far: At least 14 ships have reportedly been struck...
KUALA LUMPUR (Feb 18): The FBM KLCI closed 0.04 point lower at 1,537.08, while Bursa Malaysia small market capitalisation (small cap) stocks fell by a larger quantum after broad-based selling, following a substantial drop across global equity and commodity prices amid the Coronavirus disease 2019 (Covid-19) outbreak concerns.
Malaysia share-trade dynamics also took cue from the current corporate financial reporting season for the October-December 2019 quarter. At Bursa today, the KLCI closed at 1,537.08 at 5pm, after falling to its intraday low at 1,532.89.
The Bursa small cap index ended down 168.36 points or 1.2% at 13,916.12.
“As it is still (the) earlier part of the week, it seems like investors are having a cautious stance and is holding back,” TA Securities Holdings Bhd senior technical analyst Stephen Soo told theedgemarkets.com.
Across Bursa, the exchange saw 2.78 billion shares worth RM2.06 billion traded, as decliners led gainers by 598 to 254 respectively. Top decliners included Kuala Lumpur Kepong Bhd and Hengyuan Refining Co Bhd, while leading gainers included Carlsberg Brewery Malaysia Bhd and Petronas Gas Bhd.
The most active stock was Icon Offshore Bhd, with some 169 million shares traded. Icon's share price closed down 5.5 sen or 31.43% at 12 sen.
Asian share indices fell substantially. Japan's Nikkei 225 closed down 1.4%, while South Korea's Kospi fell 1.48%. In China, Hong Kong’s Hang Seng ended down 1.54%, while the Shanghai Stock Exchange Composite erased losses for a 0.045% gain.
Reuters reported Asian shares fell and Wall Street was poised to retreat from record highs on Tuesday, after Apple Inc said it would miss its March quarter revenue guidance, as the coronavirus slowed production and weakened demand in China.
It was reported that warning from the most valuable US company sobered investor optimism that stimulus from China and other countries would protect the global economy from the effects of the epidemic.
"Oil prices fell by more than 1% on Tuesday, tracking losses in financial markets on lingering concerns over the economic impact of the coronavirus outbreak in China and its effect on oil demand. Brent crude was at US$56.88 a barrel, down 79 cents or 1.4% by 0746 GMT, while US West Texas Intermediate crude fell 57 cents or 1.1% to US$51.48 a barrel," Reuters reported.
Source: The Edge
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