Iran launched a drone attack this Saturday against Israel, that began to respond to the offensive, marking an escalation of tension in Middle East with worldwide consequences and a logical impact on Uruguay.
In this way, the conflict worsens in a region already shaken by more than six months of war between the Jewish State and the Islamist movement. Hamas in the Gaza Strip, with unpredictable results that, among other things, will affect the markets Worldwide.
Iran’s Supreme Leader Ayatollah Ali Khamenei, broadcast a message on social networks in which it promises to “punish the evil Zionist regime” of Israel shortly after the start of an attack with dozens of drones was confirmed, in retaliation for the bombing of the Iranian Consulate in Damascus.
“Iran launched drones from its territory against the State of Israel,” the Israeli army spokesman said on television. Daniel Hagari, shortly after 11 p.m. local time and said that “this is a serious and dangerous escalation.”
“We are monitoring the threat in the airspace. It is a threat that will take several hours to reach the territory of the State of Israel,” said Hagari, ensuring that Israel “closely” with USA and its allies in the region to “intercept Iran’s drones.”
From the White House They indicated that “this attack is likely to take place over several hours” and added that the United States “will support the people of Israel.”
Shortly before, the prime minister Benjamin Netanyahu had stated that Israel was “prepared both in terms of defense and attack” for a “direct attack by Iran”, which had threatened retaliation for the recent bombing of its consulate in Damascus.
Israel previously reported the closure of its airspace starting at 9:30 p.m., a measure they also took Iraq, Jordan and Lebanon.
How can the attack affect markets globally and in Uruguay?
The growing tension in Middle East caused the rise of global dollar to its highest level since November, at a time when investors demand a safe haven in the face of the uncertainty of the Federal Reserve (Fed), which planned to make three cuts this year in the interest rate and now it could carry out one in all of 2024.
He dollar index, which measures the greenback in relation to a basket of six other international currencies, rose 0.74% this Friday and stood at 106.02 units, with a weekly advance of 1.6% that was the largest since September 2022 .
In this way, Iran’s attack could deepen this effect and appreciate the US currency globally. In this case, it will be necessary to see if the dollar continues that trend in the Uruguayan exchange market, at a time when it is going through a more than positive April, with a rise of 3.29% in two weeks, reaching a value of 38,788 pesos.
In that sense, Brad Bechtel, global head of foreign exchange at jefferies NY, warned that “we are facing a confluence of factors that are driving the dollar: the increase in the geopolitical risk, US inflation data and last week’s solid employment report” and stated: “Geopolitical risk, in particular, is increasing volatility in the market.”
The price of oil could rise
The market will also be attentive to the price movement of the Petroleum, which this Friday were trading near their highest in more than five months, also driven by the conflicts in Middle East and an eventual interruption in the supply of crude oil.
In that sense, the price of a barrel of North Sea Brent for delivery in June rose 0.79% this Friday, to $90.45, even reaching $92.18 during the session, for the first time since the end of October. Furthermore, the price of a barrel of West Texas Intermediate (WTI) For May, it had an advance of 0.75%, reaching $85.66.
The value of crude oil is being watched closely at the local level, when there are still a few weeks left for Ursea finish preparing your report Import Parity Prices (PPI), with which the government finishes defining the value of the fuels for the following month.
Thus, with the possibility of a market that puts upward pressure and without the refinery capacity of Ancap due to maintenance shutdown The Tile, close to completion, the Ministry of Industry, Energy and Mining could define an increase in the naphtha and the gasoil for May.
Source: Ambito
