The Middle East conflict triggered a sharp surge in oil prices and increased energy costs due to the blockade of the Strait of Hormuz and attacks on regional energy facilities. This has led to rising gasoline and gas prices in many Asian and European countries, and has negatively impacted global fertilizer and food markets. The US Federal Reserve is increasingly concerned about the inflationary impact of energy prices and is considering further rate hikes.
President Trump has cancelled Iran peace talks in Pakistan, potentially escalating diplomatic tensions between the US and Iran. Heavy rain in NYC could impact energy markets and global economies, increasing the possibility of oil price volatility. This cancellation further exacerbates instability in the Middle East region.