Prices

WASHINGTON — Despite rising political anxiety over the Iran war, senators on Thursday narrowly rejected a war powers resolution seeking to halt President Trump’s military action, which has been largely blamed for the spike in gas prices and become a flashpoint in the midterm election.

The Senate tally, 49-50, coming days after Trump’s bombastic address to the United Nations in which he threatened to “annihilate” Iran, was likely the last chance for lawmakers to go on record about the war ahead of November. More Republicans are peeling way from the president as the war drags on, a rare slap back to Trump, as they campaign for control of Congress. The Senate outcome fell short, with four GOP senators joining most Democrats in favor of the resolution.

“They have been carrying water for this ridiculous and illegal war for months and months and months and not listening to their constituents,” said Sen. Tim Kaine (D-Va.), who pushed the war powers resolution forward.

About half of rural American voters believe the economy is worse off now than when Trump returned to office, according to a new survey from the Associated Press in partnership with KFF. The costs of groceries, gas and healthcare rank as top pain points for the rural voters.

“We’ve got to break the cycle,” said Sen. Thom Tillis (R-N.C.), who joined in voting yes.

Republican Sens. Susan Collins of Maine, Lisa Murkowski of Alaska and Rand Paul of Kentucky also voted for the resolution to end the war, as they have in many previous tallies, and Democratic Sen. John Fetterman voted against.

This was the 14th time the Senate has considered a war powers resolution since Trump launched the conflict Feb. 28.

War powers resolutions are largely political statements, without the full force of law, but stand among the sharper tools the House and Senate have to express disapproval of the White House, short of halting funds for Trump’s military actions. As resolutions, they do not go to the president’s desk for his signature.

As gas prices climb, Republicans start to question the war

Republicans in control of Congress have shied away from directly confronting Trump over the war, now stretching past the seven-month mark. But their unrest is surfacing as stubbornly high gas prices leave voters in a cash crunch back home.

Diesel costs, in particular, have almost doubled, topping $6 a gallon, according to AAA.

Just returning from a swing through Iowa, Kansas and Nebraska stumping for GOP candidates who are suddenly at risk in their elections, Sen. John Kennedy of Louisiana called on Trump to hold a prime-time address to the nation to explain the Iran war strategy and the end game.

“People are confused about the war and upset about the cost of living,” he said.

But he and others were not yet ready to vote against the war.

“My own view is that the focus right now needs to be on attacking the cost of living issues,” said Sen. Josh Hawley (R-Mo.), who opposes the war powers resolution and believes the president is acting within his authority to conduct the military action.

House Democratic Leader Hakeem Jeffries scoffed at the handful of Republicans now trying to distance themselves from what he called Trump’s failed economy. “Now all of a sudden they’re waking up,” he said.

Democrats keep pushing war powers votes in Congress

Earlier this month, the House for a third time approved a war powers resolution, this time with seven Republicans joining the Democrats, including two from battleground Iowa, Rep. Zach Nunn and Rep. Mariannette Miller Meeks, where affordability issues among rural voters are dominating the campaigns.

Senators, though, have rarely been able to confront Trump by passing a war powers resolution.

In June, the Senate approved a war powers resolution after four GOP senators joined Democrats, but Republicans abruptly reversed course the next day after Trump berated them during a private lunch over the outcome.

At the time, Sen. Bill Cassidy of Louisiana stood up to defend his vote only to end up in a shouting match with Trump. He later switched to oppose the war powers resolution after receiving a personal briefing from the White House.

Thursday’s vote was on a resolution that had passed the House in July with GOP support. Rep. Pramila Jayapal (D-Wash.) who authored the House resolution, said the Senate outcome was “a slap in the face to the millions of American people who want this war to end.”

Other options to halt the Iran war

As the war drags on, costing $43.5 billion so far, Congress is also seeking other ways to force Trump to rethink his military strategy in Iran.

Rep. Thomas Massie, the renegade Republican from Kentucky, pushed forward articles of impeachment against Secretary of Defense Pete Hegseth before the GOP leadership abruptly adjourned the House and sent lawmakers home to campaign for the election, avoiding any potential vote on the matter.

Lawmakers also have the power of the purse to curtail military spending, something Republicans have been reluctant to do but Democrats are sure to tackle if they win power in the midterm election. The White House’s request for an additional $87.6-billion funding package for the war and other needs has idled in Congress.

First created in the aftermath of the Vietnam War as a way to hold a president accountable for military actions, the war powers act has long posed a test of the balance of power between the executive and legislative branches of government.

While the Constitution says only Congress can declare war, the president as commander-in-chief is also able to engage the military. The war powers act seeks to provide clarity by requiring the president, within 60 days of any such action, to seek approval — or risk disapproval — from Congress.

Mascaro writes for the Associated Press. AP writers Joey Cappelletti and Mary Clare Jalonick contributed to this report.

EDINBURG, Texas — Quinten Martinez, pumping gas under a hot south Texas sun, remembers a time when fueling up didn’t require difficult decisions.

“Is it going to be groceries this week?” said the 28-year-old Amazon delivery driver as he watched the numbers tick higher. “Is it gonna be getting gas in our tank to go to work?”

He shook his head when asked about President Trump’s assertion last week that higher gas prices are a small price to pay for the war with Iran.

“I don’t feel like it’s a good trade-off,” Martinez said. “I don’t feel like this is good for anyone.”

Voters across the country, and across the political spectrum, tend to agree.

Interviews with voters in several states, along with a fresh round of national polling, reveal an overwhelming sense of frustration that skyrocketing gas prices — a direct result of Trump’s war — are creating serious and sustained financial hardships for America’s working class.

The acute concerns are adding to a bad political environment that may be worsening for Trump and his Republican Party as early voting gets underway in the November midterm elections.

Historically, the party holding the White House has suffered major losses in midterms. About seven weeks before election day, Republican candidates at all levels are struggling with the additional burden of Trump’s weak approval ratings, an unpopular war and an affordability crisis that Trump and his congressional allies had promised to fix.

But when Trump campaigned in North Carolina on Wednesday, he played down the effect of surging gas prices.

“You have a little higher. It’s a very inexpensive price to pay for what we’ve done,” Trump said of the war, which he describes as necessary to prevent Iran from obtaining a nuclear weapon. “Remember that. It’s a little more. Frankly, even if it was a lot more.”

‘Gas prices matter’

Despite what Trump says, there are few things that may matter more this election year than the price of a gallon of gasoline, according to political operatives in both parties.

Gas prices are moving sharply in the wrong direction at a time of year when drivers typically get some relief. The national average for a gallon of gas reached $4.48 on Friday, according to the American Automobile Assn., up roughly 17 cents over the last week, 40 cents in a month and $1.27 from a year ago.

“Gas prices matter because they’re one of the few economic indicators voters experience and see in real time,” said veteran Republican strategist Chris Wilson. “The price is literally staring them in the face several times a week. So I wouldn’t minimize the frustration we’re seeing, particularly among working- and middle-class voters.”

Interviews with voters last week found bipartisan frustration and disappointment.

Democrats and unaffiliated voters were especially motivated to punish Republicans at the ballot box for their economic hardship, while some of Trump’s working-class supporters pledged to support Republicans this fall, even if they weren’t happy with the president’s leadership on the economy.

Some Republicans say they’re disappointed

Dan Lloyd, who voted for Trump, lamented the president’s leadership as the 63-year-old carpenter paid $4.39 a gallon to fill up his pickup truck in Mesa, Ariz.

“He hurt himself stepping into this,” Lloyd said of Trump. “Where’s all this oil from Venezuela? I thought we were flush with gas and everything, but no. The American people eat it every time, whether it’s interest rates, food, gasoline.”

Still, he expects to vote Republican in the midterms.

“I think the Democratic Party has lost its way,” Lloyd said. “I just feel like the whole system’s on the verge of collapse.”

In sweltering Edinburg, Texas, 52-year-old Kristin Jimenez shrugged off the rising price of gas after filling up her Mercedes.

“We’ve paid the same price under Republican presidents, we’ve paid this price under Democrat presidents,” said Jimenez, a mother who runs a small business. She plans to vote for a Republican because they’re the “lesser of two evils.”

She said gas prices aren’t part of her calculation.

“We don’t mind paying $8 for a cup of coffee at Starbucks, but we have a problem paying four bucks at the pump?” she said. “Make it make sense.”

More than 1,500 miles to the north in central Michigan, 35-year-old Garth Johnson is trying to make ends meet running a deep-cleaning business with several gas-powered vehicles and one machine fueled by diesel, which was $6.79 a gallon as he filled up his SUV.

Johnson voted for Trump, but doesn’t know what he’s going to do in November. He said he doesn’t feel qualified to second-guess the president’s evaluation of the war, but he’s feeling financial pressure in his own life.

“I like a lot of the things he’s done,” Johnson said, but added, “I’m a little guy and I’ve got to live my life.”

Other voters are less forgiving

Midterm voting was already underway Friday in Virginia, where Alan Johnson said Trump seems to have “no empathy” for Americans who are struggling financially.

“With the gas prices being what they are and continuing to grow, we’ve got to do something. Hopefully the Democrats can get into office and turn the ship around,” said the 60-year-old engineer, who cast ballots in the morning for Democrats for the U.S. Senate and House.

In Raleigh, N.C., teacher Brittney Bivins sees surging gas prices as evidence that Trump and his Republican Party aren’t dealing with the issues that matter most to people like her.

“He really doesn’t care about everyday people,” the 45-year-old said. “He can afford the gas, but most of us can’t. So it feels like he’s not even connected to his own people.”

Bivins, who described herself as an independent, said she’s eager to support Democrats this fall — especially the party’s emerging democratic socialist wing.

At a gas station in Lansing, Mich., Rina Risper spent $50 on eight gallons of premium gas.

“When I rolled up I was in shock, actually, and said, well, maybe I should drink water instead of having that $4.99 bottle of whatever it was I was gonna get,” Risper said. She thinks Trump’s tariffs will make affordability even worse.

“We’re not in Miami. We’re in Lansing, Michigan,” she said. “It’s really going to impact our people.”

Polls reflect economic distress

Nationwide, more than three times as many voters say they are falling behind financially as getting ahead, according to a Fox News survey released Wednesday. By a 15-point margin, Democrats are considered the party that would better handle inflation and prices at a time when the cost of living and the economy are voters’ top concerns.

The Fox poll found that 61% of voters say gas prices are a major problem for their household, compared with 48% two years ago, while 52% say the same for healthcare costs, compared with 44% in 2024. Majorities also view housing costs and grocery prices as major problems, although neither has increased.

Overall, nearly two-thirds of voters (63%) say the administration has made the economy worse, compared with 52% in September 2025, including one-quarter of Republicans. Only 46% of Republicans say the administration has improved the economy, while about one-quarter don’t see an impact.

Back in rural south Texas, an area where Trump’s GOP made gains in recent elections, Martinez, the Amazon delivery driver, could not contain his frustration.

Trump “likes to tout that we are the best economy in the world,” said Martinez, but in rural towns, “you don’t see any of the winning, you don’t see any of the ups that he’s talking about.”

“You just see struggles for day-to-day life,” he said.

Peoples, Bedayn and Cooper write for the Associated Press. Peoples reported from New York and Cooper from Mesa. AP writers Allen G. Breed in Raleigh, Jacqueline GaNun in Lansing, Sarah Rankin in Richmond and Nicholas Riccardi in Mason, Mich., contributed to this report.

KATIE Price has made her modelling comeback as she walked the runway at London Fashion Week in a tiny waistcoat that barely contained her biggest ever boobs.

The reality star surprised fans as she made an appearance at Natasha Zinko’s London Fashion Week show X OnlyFans show in Islington, London, last night.

The 48-year-old strutted her stuff on the catwalk at Collins Music Hall as she flaunted the results of her latest boob job.

Katie was seen wearing a pair of satin shorts and a matching cropped black waistcoat that struggled to contain her assets.

The skimpy ensemble showed off her long legs and large collection of tattoos.

Katie, who is no stranger to going under the knife, underwent her latest boob job just weeks ago in Brussels.

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After being left with one boob slightly larger than the other, Katie went in for corrective surgery and ended up asking the surgeons to make them even bigger.

The former glamour model, who went by the alias Jordan during her page three days, has now made a dramatic comeback and she was loving every minute of it.

Katie recently dumped her conman husband Lee Andrews by text after discovering the crypto account he claimed had contained £37m had just £2.20 in it.

She appeared on Good Morning Britain earlier this week and confessed she’s had enough of Lee’s lies.

Jailed Lee sent a voicenote to the show in which he criticised his wife for speaking out about him and said “divorce is probably for the best”. He also said Katie wasn’t tech-savvy and had looked in the wrong account, insisting he is a multi-millionaire.

Lee is still behind bars in Dubai’s Al Awir prison as Katie prepares for what could be showbiz’s messiest divorce.

Sanaa, Yemen – Ahmed Yahya, 28, fills his taxi with 10 litres of petrol as he begins his workday early in the morning.

“I feed my taxi with fuel first so that it can help feed my family,” Yahya, a taxi driver, said as he wiped the dust from his front window at a petrol station on the outskirts of Sanaa.

Up until earlier this week, Yahya used to pay 4,750 Yemeni riyals, the equivalent of roughly $8.90 in Houthi-controlled areas of Yemen. The price had remained unchanged for about four years in territory under the rebel group’s control – including the capital Sanaa.

But then, on Monday, the Houthis announced a roughly 10 percent increase in the price of petrol, up to 5,250 Yemeni Riyals ($9.80). After years of economic misery, Yahya described the price hike as another “painful surprise to an already devastated people”.

The Houthi-run Yemen Petroleum Company said the diesel and petrol price increase was the result of a “global increase in fuel prices”, and promised that it would be temporary. The increase in global oil prices this year comes off the back of the impact of the United States-Israel war on Iran. But, more recently, the Houthis’ own capture of Yemen’s southern Red Sea coast from government forces last week, and attacks on Saudi Arabia, have played a major role in increasing prices.

“When I heard the announcement of the new fuel price, I was shocked and frustrated. We’re hardly surviving, and this price increase will make survival even harder,” said Yahya, as he lamented another burden in a country where 18 million already face acute food insecurity – a lack of reliable access to enough food.

‘Rent or food?’

Yahya, a father of three, has been working as a taxi driver for five years. Although the job helps make ends meet, he feels financially insecure, especially with the ongoing changes in food and fuel prices.

“My family spend about 75,000 Yemeni riyals [$140] a month on food expenses such as flour, rice and cooking oil. With the fuel price rise, we will need at least 85,000 Yemeni riyals [$159] a month for the same food items,” said Yahya.

The resumption of fighting in Yemen in the past few months, after a four-year period of relative calm in the country’s war, has contributed to the price rises. But for Yahya, relatively safe in Sanaa, it’s the increased expenses that are the more troubling development.

“When prices rise, they affect what we eat, drink, and how we live,” he said. “Let me give you an example: I pay 25,000 Yemeni riyals [$47] in rent every month. With the increase in food prices, putting money aside to pay the rent has become more challenging. What is the priority? Rent or food?”

An April report by the International Monetary Fund (IMF) said that Yemen’s internal conflict has led to significant macroeconomic vulnerabilities and a marked decrease in income per capita, leaving more than half of the population in urgent need of humanitarian assistance.

“It [the conflict] has caused widespread food insecurity, disease outbreaks, mass family displacement, and limited access to clean water,” the report said.

Risky and costly transportation

One of the links between the renewed fighting and the increase in prices is the longer distances needed to transport products across the country, as truckers avoid roads near the front lines.

“A truck carrying goods from the south to the north or vice versa now takes up to a week to reach its final destination. Before the renewed fighting, a similar journey would have taken three days or less,” explained Saleh Abdullah, a shopkeeper in Sanaa.

The increased transportation costs, including the higher fuel prices, are passed on to the consumer.

“This means no family is immune to this trouble,” Abdullah said. “Whether it is the flour, the baby milk, the fruits, the vegetables, or anything else, families will feel the pain of price increases.”

“Some customers become angry at us when we sell products at a higher price,” he added. “We didn’t impose prices. We just react and adapt to the changes in the country or the region.”

Ibrahim Abdu, an employee at the Nehm customs checkpoint in Sanaa governorate, said the number of trucks arriving in the capital has declined over the past few weeks.

“Fighting has cut off many roads, and merchants have avoided risking their products and drivers,” he told Al Jazeera.

‘A hunger multiplier’

Years of war have taken a heavy toll on Yemen’s economy, disrupted businesses, and pushed millions of people into poverty and food insecurity. Against this bleak backdrop, the country’s humanitarian tragedy has been worsening.

Ahmed Mohammed, a former humanitarian worker in Hodeidah, describes the fuel price rise as a “hunger multiplier” in war-torn Yemen.

“If a breadwinner struggles to buy a family three meals a day, he may be able to afford only two given the rising price of food commodities. This will deepen hunger among families,” said Mohammed.

He added: “War is ugly, and one of its ugliest aspects is seeing a family unable to afford a kilogramme of flour, sugar or rice.”

The UN Refugee Agency (UNHCR) warned this week that the violence threatens to trigger a humanitarian crisis as more people are displaced, pressuring communities with limited resources.

A multi-faceted impact

Wafiq Saleh, an economic researcher and executive director of the Taiz Centre for Yemeni-Gulf Studies, said the 10 percent hike in fuel prices in Houthi-controlled areas deals a blow to Yemeni consumers.

“Its impact will manifest as a major inflationary wave, placing a heavy burden on the most vulnerable and income-deprived segments of society,” Saleh told Al Jazeera.

While this price increase may appear modest in percentage terms, its effects extend far beyond the petrol station, rippling through various goods and services and creating new hardships, according to Saleh.

“Petroleum products serve as intermediate inputs for a wide range of goods and services. Consequently, a 10 percent rise in fuel prices does not merely increase people’s expenses by 10 percent; it triggers a cascading effect on prices,” he said.

“The most severely affected sectors include agriculture – which relies on diesel for crop irrigation – and the transport and services sectors, where rising costs immediately drive up passenger fares and food prices.”

He added that the increase would also affect water and electricity services, many of which rely on diesel-powered generators, further increasing the cost of basic services.

Small- and medium-sized enterprises are similarly affected.

“Small enterprises are operating on narrow profit margins, and they may be forced to either cease operations or pass the increased costs on to the final consumer,” Saleh said.

Published on
18/09/2026 – 7:54 GMT+2

Japan’s benchmark Nikkei 225 gained 1.9% to 65,332.57 after the Bank of Japan raised the benchmark interest rate to 1.25% from 1.0%, a 31-year high.

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The move had been widely priced in, coming after the Federal Reserve also raised its key rate this week. Pressures have been coming from the US for Japan to raise rates because of concerns about the weakening yen.

The nations intervened together recently to prop up the yen. But the efforts haven’t had a big impact.

In currency trading, the US dollar rose to 157.11 Japanese yen from 155.95 yen. The euro cost $1.1487, up from $1.1480.

South Korea’s Kospi jumped 2.3% to 6,866.83. Australia’s S&P/ASX 200 was little changed, slipping less than 0.1% to 8,731.50. Hong Kong’s Hang Seng edged up nearly 0.7% to 24,769.80, while the Shanghai Composite added 1.0% to 3,916.08.

Falling oil prices and easing pressure from the bond market helped Wall Street reverse many of its losses from the prior day.

The S&P 500 jumped 1.1% for just its second rise in the last nine days. The Dow Jones Industrial Average added 316 points, or 0.6%, and the Nasdaq composite climbed 1.7%.

Wall Street stocks got a boost after the price of a barrel ofBrent crude oil slid from the nearly $110 it reached earlier in the week on worries that the war with Iran will keep oil bottled up in the Middle East instead of going to customers worldwide.

In Asian trading, Brent, the international standard, lost 0.94% to $103.83 a barrel. Benchmark US crude slid 0.83% to $101.06 a barrel.

Brent is still more expensive than the $72 per barrel that it cost earlier this summer, but the recent drop helped pull yields lower in the bond market and removed some pressure on stocks. The yield on the 10-year Treasury fell to 4.93% from 5.01% late Wednesday.

The Federal Reserve on Wednesday raised the short-term interest rate that it controls, the federal funds rate, by a quarter of a percentage point for its first hike in more than three years. Officials also hinted that they may raise the federal funds rate one more time this year as they try to get high inflation in the US under control.

The signals sent Wall Street on a roller coaster. Stocks initially remained higher for the day after the Fed made its announcement Wednesday. They then slid sharply before recovering a chunk of the losses before trading ended.

On the upside for markets, the shift to higher interest rates built confidence that the Fed is committed to getting inflation back to its target of 2%. On the downside for markets, higher rates undercut prices for stocks and other investments.

All told, the S&P 500 rose 85.95 points to 7,637.76. The Dow Jones Industrial Average gained 316.14 to 51,778.04, and the Nasdaq composite rallied 439.87 to 26,418.30.

Additional sources • AP

KATIE Price’s ex Dane Bowers has updated fans from his hospital bed about ‘complications’ after a seven-hour surgery.

Back in August, the Another Level singer revealed he needed to have a “very serious operation”.

On Thursday, Dane, 46, took to Instagram from his hospital bed to share an update on how his spinal fusion went.

He said: “So I had my surgery yesterday, luckily enough I didn’t really have much pain, obviously I had this morphine drip thing that I could press the button for and I’ve not used it.

“I used it once right at the beginning to see what it felt like I guess, but I’ve not used it which is good.”

But the singer – who wore a hospital gown with a piece of white material tucked into the neckline – then explained something was wrong with his neck and chin.

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He said: “I have this thing here on my chin which needs to be seen to, which is why I’m talking a bit weird, it’s all numb and it’s from where my face was down.

“My surgery was seven hours which is quite long. And it’s sort of seeping as you can see…disgusting.

“So I think I’m having a dermatologist and some sort of skin doctor come to see, but that’s the only sore bit really.”

Dane – who dated Katie between 1998 and 2000 – then revealed he had managed to get out of bed and stand up with a physiotherapist and used a walker to do some steps around the ward.

He added: “My back is sore when I move but I’m not particularly in pain. I did have a bit of cramping in my good leg but otherwise not too bad.”

When Dane shared the news of his upcoming surgery last month, he said: “I got a second opinion and I am glad I did, because it’s pretty much changed what I am doing.

“Bad news for me, I do need to have a very serious back operation. I need to basically have a fusion”.

Spinal fusion is a procedure which sees two or more vertebrae joined together with metal rods, cages or screws.

BEIJING: Oil prices jumped more than two percent on Monday, after new Houthi strikes on Saudi Arabia and Iranian attacks on ships in the Gulf compounded supply concerns following the closure of a key Saudi oil pipeline.

Brent crude futures rose $2.90, or 2.77 percent, to $107.51 per barrel as of 2313 GMT. WTI futures rose $2.27, or 2.27 percent, to $102.32 per barrel. Prices had initially risen more than ‌3 percent at market ‌open.

Saudi Arabian state media on Sunday released ​video ‌footage of ⁠damage to ​homes ⁠and a mosque from what it said was a Houthi attack on the country’s southern Jazan province. The Houthis said they had also struck a Saudi military base in a neighboring province.

A vessel in the Strait of Hormuz was struck by a projectile, causing a fire and forcing the crew to be evacuated, the British maritime security agency UKMTO said on Sunday.

Iran said one person was killed ⁠and four crew wounded aboard an Iranian commercial vessel struck ‌off its coast.

Oil prices had been ‌expected to rise on Monday amid growing concerns about ​risks to supply from Saudi Arabia, ‌the world’s largest oil exporter, whose East-West oil pipeline was shut on Friday ‌by a drone strike that originated in Iraq.

The loss of the pipeline, which helped Saudi Arabia re-route its exports avoiding the Strait of Hormuz, threatens up to 4 percent of global oil supply.

Meanwhile, Yemen’s Iran-aligned Houthis had reached the strategic island of Perim on ‌Friday, moving to tighten their control over the Bab Al-Mandab Strait, another key oil transit lane that has been shipping ⁠4-5 percent of ⁠global supply in recent months.

Oil surged 8 percent higher on the week due to the disruptions, rising above $100 for the first time since July.

“Looking ahead, unless this week’s talks in Oman produce something operational — or the East-West pipeline is brought back online quickly — the risk is that crude oil continues to extend its gains toward the $119.48 high of early March,” IG market analyst Tony Sycamore said in a note on Sunday.

Omani Foreign Minister Badr Albusaidi said on X later on Sunday, however, that a scheduled Monday meeting in Oman between Gulf countries and Iran to discuss the Strait of Hormuz had been postponed.

No peace talks ​have been held in the ​war, launched six months ago by the United States and Israel, since an interim agreement in June collapsed after a few weeks.

RIYADH: Egypt’s annual nationwide inflation rate eased to 12.7 percent in August from 13 percent in the previous month, as lower food prices offset increases in electricity, housing and other household costs.

The nationwide consumer price index was unchanged from July at 289.8 points, according to data from the Central Agency for Public Mobilization and Statistics. Annual urban inflation also eased to 14.5 percent from 14.9 percent in July. 

Egypt continued to experience faster price growth than several regional peers, although the latest available comparative readings are for July rather than August. 

Saudi Arabia’s annual inflation was 1.8 percent in July, while Jordan’s was 2.7 percent, according to official data from the respective countries. Morocco recorded a 0.6 percent annual decline in consumer prices.  

The International Monetary Fund expects Egypt’s inflation to rise to 16.7 percent in the second half of 2026, reflecting higher energy prices, exchange-rate depreciation and unfavorable base effects. 

In its latest report, CAPMAS stated: “The food and beverages division recorded a decrease of 1.2 percent due to a 0.1 percent decrease in the prices of cereals and bread, a 1.5 percent decrease in the prices of meat and poultry, a 0.1 percent decrease in the prices of fish and seafood, and a 7 percent decrease in the prices of vegetables.”  

Housing costs climb  

Housing, water, electricity, gas and other fuels rose 1.9 percent during the month. Electricity, gas and fuel prices increased 4.3 percent, while actual rents rose 0.8 percent and housing maintenance costs increased 0.5 percent.  

Prices for furnishings and household equipment rose 0.7 percent, while clothing increased 0.5 percent, healthcare 0.4 percent, transport 0.2 percent, and restaurants and hotels 0.5 percent. 

On an annual basis, housing, water, electricity, gas and other fuels recorded the largest increase, at 33 percent, with actual rents up 28 percent and electricity, gas and fuels rising 22.4 percent. 

Transport costs increased 21.7 percent annually, while education rose 20 percent and recreation and culture increased 15.3 percent. Food and beverages prices rose 6.5 percent, with vegetable prices up 27.7 percent.  

Monetary policy  

The inflation data comes after the Central Bank of Egypt kept its key interest rates unchanged last month, with the overnight deposit rate at 19 percent and the lending rate at 20 percent. The main operation and discount rates were maintained at 19.5 percent. 

The CBE expects headline inflation to accelerate through the third quarter because of unfavorable base effects before gradually declining from the first quarter of 2027. It expects inflation to converge toward its 7 percent target, plus or minus 2 percentage points, during the second half of 2027.  

The central bank has warned that the inflation outlook remains exposed to risks from regional hostilities and a stronger-than-expected pass-through from fiscal consolidation measures. 

The Strait of Hormuz has become the central pressure point in the escalating confrontation between the United States and Iran. Before the conflict, roughly 20 million barrels of oil moved through the narrow waterway each day, equivalent to about one fifth of global oil consumption. For years, traders could therefore rely on relatively consistent estimates of the volumes passing through one of the world’s most important energy corridors.

That certainty has now disappeared.

The use of “dark crossings,” in which tankers switch off their identification and navigation systems, has made vessel movements increasingly difficult to monitor. Satellite imagery, port records, tanker drafts, loading schedules and shipping data are being used to reconstruct movements, but the information remains incomplete. Recent estimates of Hormuz flows have differed dramatically, leaving traders and governments uncertain about the true scale of oil moving through the waterway.

The uncertainty comes as Brent crude has moved above the $100 a barrel threshold for the first time since July, driven by renewed military escalation and concerns over Middle Eastern oil supplies.

The Hormuz Information Gap

The most unusual feature of the current oil crisis is not simply that supplies may have fallen. It is that markets cannot confidently determine how much oil is actually moving.

U.S. Energy Secretary Chris Wright said more than 17 million barrels crossed the strait on August 31 under U.S. Navy supervision. Shipping intelligence firm Kpler, however, estimated that only around 6 million barrels crossed that day. Kpler put average August flows at approximately 4.3 million barrels per day, with flows rising to nearly 5 million barrels per day during the first days of September.

The difference could partly reflect different methodologies, including whether shipments using alternative routes outside Hormuz are included. Tankers that remain invisible to tracking systems for days or even weeks make the picture even harder to reconstruct.

This means that traders are attempting to price global oil supplies without reliable visibility over one of the world’s most important supply arteries.

Why the Strait of Hormuz Matters

Hormuz is strategically important because of the enormous concentration of energy exports that normally pass through it. Any sustained disruption can affect crude supplies, tanker availability, insurance costs and shipping times, eventually feeding into fuel prices and broader inflation.

The current situation is different from a straightforward blockade. The strait has not necessarily become completely impassable. Instead, its reliability has been severely compromised.

That distinction matters because a tanker does not have to be physically prevented from crossing for markets to react. The possibility that vessels may be delayed, attacked or unable to cross safely is enough to increase the cost of transporting oil.

As a result, the market is responding not only to actual supply losses but also to the risk of future disruption.

Iran’s Strategic Leverage

Iran’s ability to disrupt maritime traffic remains an important source of leverage despite indications that its military capabilities around Hormuz have been weakened.

U.S. demining operations and a growing U.S.-protected shipping corridor along Oman’s coast have allowed more vessels to enter and leave the Gulf. At the same time, Iran-linked forces continue to threaten commercial shipping, meaning Tehran retains the ability to create uncertainty even if it cannot completely shut down the waterway.

This gives Iran a form of asymmetric leverage. Tehran does not necessarily need to close Hormuz completely to impose economic costs. Sporadic attacks, warnings or restrictions can increase insurance premiums, delay shipments and encourage traders to price in a greater possibility of supply disruption.

The renewed attacks on Saudi energy infrastructure have added another layer of risk by threatening alternative routes that have become increasingly important as traffic through Hormuz has declined.

Impact on Global Oil Markets

The immediate consequence is a higher geopolitical risk premium on crude.

Oil prices normally respond to measurable fundamentals such as production, consumption, inventories and transportation. But when the market cannot establish how much oil is moving through Hormuz, uncertainty itself becomes part of the fundamental picture.

This can keep prices elevated even if actual physical supply losses are smaller than feared.

Brent has already moved above $100 a barrel, while analysts and major financial institutions have raised their oil price forecasts as concerns about prolonged disruption increase.

For oil-importing countries, sustained high crude prices could translate into higher fuel and transportation costs, increased inflationary pressure and greater economic uncertainty. Airlines, manufacturers and businesses dependent on energy-intensive supply chains would also face higher operating costs.

Economic and Geopolitical Implications

The crisis demonstrates how vulnerable the global energy system remains to a single strategic chokepoint.

For the United States, maintaining freedom of navigation through Hormuz is not simply a military objective. It is also essential to preventing a regional conflict from becoming a wider global energy crisis.

For Gulf producers, the challenge is equally significant. Even countries with substantial production capacity cannot fully compensate for disrupted shipping if export routes remain vulnerable.

For major Asian importers, the risks are particularly serious because much of the energy normally passing through Hormuz is destined for Asian markets. A prolonged disruption could therefore create significant pressure on import bills, currencies and inflation across energy-dependent economies.

The crisis also highlights the limits of alternative routes. Pipelines and routes outside Hormuz can reduce some of the pressure, but they cannot immediately replace the enormous volumes that normally pass through the waterway.

What’s Next?

The key variable is whether the confrontation between Washington and Tehran moves toward negotiations or further escalation.

A diplomatic breakthrough could rapidly reduce the geopolitical risk premium by restoring confidence in shipping and improving visibility over oil flows. A further escalation, however, could produce additional attacks on tankers, restrictions around the Gulf or renewed pressure on alternative shipping routes.

The oil market will therefore be watching tanker movements as closely as military developments.

If shipping activity becomes more visible and flows recover, some of the current premium could disappear. If the information blackout continues, traders may continue pricing the possibility of a much larger supply disruption.

Analysis

The deeper significance of the Hormuz crisis is that information itself has become a strategic commodity.

Modern energy markets have traditionally depended on the ability to monitor ships, cargoes and supply chains with increasing precision. Satellite imagery, tracking systems and port data created an assumption that physical oil flows could be observed and measured with reasonable accuracy.

That assumption is now being challenged.

The result is a market where perception can influence prices almost as powerfully as physical shortages. If traders believe Hormuz is becoming less reliable, they will pay more for crude today even without definitive evidence of a catastrophic supply loss.

This gives Iran an important form of strategic leverage. The threat of disruption can generate economic consequences even when actual disruption remains limited.

At the same time, Washington faces a difficult calculation. Greater military protection may help keep shipping moving, but prolonged confrontation can also increase the geopolitical risk premium that the United States is trying to contain.

The central question, therefore, is no longer simply how much oil is passing through the Strait of Hormuz. It is how long the global market can function without knowing the answer.

If that uncertainty persists, the oil market could continue carrying a substantial security premium even if physical supplies prove higher than current estimates suggest. The longer the uncertainty lasts, the more deeply it can become embedded in prices, inflation expectations and global economic planning.

With information from Reuters.

New fuel pricing targets consumption above 110 litres monthly, doubling costs to 100,000 riyals per litre.

Iran has raised petrol prices for motorists again as the government struggles to manage declining revenues and sustain a costly subsidy regime.

The price of petrol will remain the same for the first 60 litres (16 gallons), state media reported, but there will be a higher price bracket for the next 50 litres (13 gallons). Prices will double from 50,000 riyals to 100,000 riyals ($0.07) per litre (0.3 gallons) for motorists who consume more than 110 litres (29 gallons) a month.

Iran has some of the lowest petrol prices in the world, but due to ongoing economic difficulties amid the war with the US, including punishing sanctions and a siege on Iranian ports by US forces, Iranian officials have for months considered adjusting fuel subsidies to make up for lost revenues.

“If we consume it properly, we can manage with the amount of gasoline we produce in the country,” Mohammad Bagher Ghalibaf, speaker of the Iranian parliament, said in a TV address earlier this month. “What is clear is that we need to save gasoline in our consumption. Of course, part of the responsibility for this high consumption does not lie with our people; it lies with our industry.”

Iran depends on oil exports for about 90 per cent of its budget, but these have declined from about 4 million barrels per day (bpd) to about 2.2 million bpd in August. The country is also consuming more oil than it produces domestically.

In a sign of the energy crisis, videos circulating on social media reportedly show long queues at petrol stations in Tehran.

It is the second time petrol prices have increased since December, with concerns about further increases prompting unrest.

Huge antigovernment protests in 2019 started after anger over fuel price increases. Iranians are already feeling the impact of a downturn in economic activity, high inflation, and a drop in the value of the rial.

Oil prices are rising to nearly a six-week high amid a wave of strikes between the United States and Iran in the Strait of Hormuz, through which roughly a fifth of the world’s oil supply travels during peacetime.

On Monday, Brent oil futures, the global benchmark, rose to hover around $97 a barrel — up 9 percent over the last five days and 19 percent over the last month. Monday’s market moves are approaching the highest point since July 24th, when prices topped $97.93.

US West Texas Intermediate crude similarly rose to $92.27 a barrel, up 79 cents, also a near six-week high.

In recent days, strikes escalated in the Strait of Hormuz. The US hit three Iranian oil tankers on Saturday, while Iran’s Islamic Revolutionary Guard Corps (IRGC) said it had struck three tankers and three US-linked vessels in other areas.

“This is a reflection of continued conflict and exchange of fire. The supply deficits globally are persisting, and there is little end to these shortages,” Rachel Ziemba, an adjunct senior fellow at the Center for a New American Security (CNAS), told Al Jazeera.

On Monday, Saudi Aramco’s Jizan facilities were struck for the second time in the last month, according to reporting from the Financial Times that cited two people familiar with the matter.

“The fact that a Saudi refinery in Jizan was hit, possibly delaying its return to production, didn’t help,” Ziemba added.

Amid increased strikes, there’s less traffic in the Strait of Hormuz, with an average of 10 commodity ships crossing the vital chokepoint each day over the last 10 days, according to Kpler, a data analytics platform.

“Crude went back down to what the pre-war level was in early July. Then it increased again, and then it reduced again, and now it’s increasing again on this weekend’s exchange plus the Aramco attack,” Arif Gasilov, a partner at the Gasilov Group, an energy advisory firm, told Al Jazeera.

“I would say that you might eventually see an inflection point, depending on how long this keeps going on, where a ceasefire doesn’t move the market at all, maybe by just a dollar or two.”

US consumers pinched

US consumers are feeling the impact of heightened oil prices at the petrol pump. The average price for a gallon (3.78 litres) of petrol has jumped 7 cents over the course of a week, reaching $4.15 nationally on Monday, up from $4.08 this time a week ago, according to the American Automobile Association (AAA), which tracks daily petrol prices.

That’s up from $4.04 this time a month ago and $2.98 from February 28th, when the US and Israel first struck Iran, marking a 39 percent increase since the war began.

Last week, diesel prices hit all-time highs at $5.85 per gallon.

“US diesel prices have never been this high, and now the countdown starts for the trickle-down to everything consumers buy… record diesel will start funnelling down into the economy,” Patrick De Haan, head of petroleum analysis at GasBuddy, said in a post on the social media platform X.

Prices have continued to climb since, with average prices on Monday topping $5.90 per gallon.

“Markets are pricing in longer disruptions. It continues to be in product markets where the biggest disruptions lie, though, including diesel,” Ziemba added.

Those price gains are weighing on Americans, who have spent an average of $764.59 per household on fuel since the war began. That’s $418.82 more than usual, according to Brown University’s Watson School of International and Public Affairs.

Ahead of the US’s September 5-7 Labor Day weekend, the unofficial end of summer and a popular time for US travel, AAA forecasts showed a 20 percent increase in flight costs compared to the same weekend last year.

Ahead of the midterm elections, the economy is emerging as a key issue for US voters — and a potential warning sign for Republicans. Polls show voters souring on President Donald Trump’s handling of the economy, with his economic approval rating falling to a new low in a recent Financial Times poll. Just 17 percent of Americans approve of his handling of the economy.

An Economist/YouGov poll similarly found that 39 percent of Americans believe Democrats are doing a better job handling the economy, compared with 32 percent who said Republicans are.

China pressures

Southeast and East Asian markets rely more heavily on imports travelling through the Strait of Hormuz directly than the US, but Beijing has moved to insulate itself from the disruption by turning to domestic sources, including its strategic petroleum reserve (SPR).

“China has been managing this situation successfully since the beginning of the war. We know that China has many domestic resources, despite rising oil prices,” John Gong, an economics professor at the University of International Business and Economics, told Al Jazeera.

“China has been conserving its oil and gas consumption for quite some time now. China was prepared for these challenges,” Gong said.

He also stressed that China’s close relations with Russia give Beijing another source of supply, with Moscow able to provide nearly half of China’s daily oil needs.

China has also begun tapping into its SPR while reducing its reliance on imports, as Beijing accelerates a broader shift towards alternative energy sources and vehicles that require little or no oil to operate.

“We have national strategies focused on transitioning to clean energies like solar and green power,” Gong said. “When we look at the vehicles purchased in China, more than 50 percent of cars sold on the Chinese market are electric.”

ONE of the most famous attractions in the UK is slashing its ticket prices by more than half.

Kew Gardens is known for its incredible botanicals, exhibitions, seasonal events – and in a few days you’ll be able to explore it all for a tenner.

Every Tuesday between September 8 to December 29, adult tickets to Kew Gardens will cost just £10 – rather than its usual £25.

The attraction is open every day of the week between 10am and 7pm.

Kew Gardens is a one-of-a-kind attraction filled with more than 50,000 plants with some of the most diverse collections on earth.

It’s frequently named as one of the best attractions to visit in the country and in the world.

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It was named as one of the world’s best botanical gardens by Conde Nast Traveller in 2023.

As for what you can find now, there are plants aplenty.

For seeing autumn at its best, head up to the Treetop Walkway for a high-up view of the attraction looking down at its orange-leaf trees.

It looks over the Arboretum which has over 11,000 trees – some of them dating back to when the gardens were founded back in 1759.

If you’re going as a family, check out the children’s garden which has its own playground designed for two to 12 year olds.

There are tunnels, climbing frames and water play too.

For a moment of calm, there’s Japanese Landscape, a tranquil Asian-inspired garden with a traditional tea garden and waterfalls.

Inside the Palm House is a tropical rainforest environment – this is where you’ll find the oldest pot plant in the world.

It’s one of your last chances to see it for a while as there’s a planned renovation in 2027 which will last for five years.

Other areas to explore include King William’s Temple, The Hive installation and Temperate House which is the world’s largest Victorian glasshouse.

In October half-term there will be a Hey Duggee trail for kids with interactive challenges and a stamp trail.

The £10 tickets also coincide with the Henry Moore: Monumental Nature exhibition which has as many as 30 impressive sculptures on display.

The £10 tickets can be booked online or bought at the gate.

Travel Reporter Cyann Fielding reveals her favourite part of Kew Gardens…

If you want to find out how to spend a day at Kew Gardens, Travel Reporter Cyann Fielding has done all the work for you…

“Whatever season you choose to visit Kew Gardens, there is something different to see.

“When I visited, the orange, red, yellow and brown leaves of autumn were in full swing making the entire destination look like a painting.

“Of course, pretty much all of the things to do at Kew Gardens are suitable for adults.

“A personal favourite of mine was the Princess of Wales Conservatory which features 10 temperature-controlled climate zones.

“In each area, there is something to explore that is fascinating – it essentially feels like walking through the jungle. You’ll see Venus flytraps, orchids and giant cheese plants.

“There is the Temperate House, which is the world’s largest Victorian glasshouse and is home to rare and threatened plants.

“Also make sure to head to Palm House, especially before it closes and undergoes refurbishment in 2027.

“Inside you will find an indoor rainforest, with tropical plants including the oldest pot plant in the world.

“Reopening in spring 2026 is also Kew Palace, which is the oldest building within the gardens.

“The pretty red house was the summer home of King George III in the 18th century and features 10 rooms spread across three floors, including the royal’s living quarters.

“At the opposite end of the estate is Queen Charlotte’s Cottage, which is currently open to the public.”

Netflix bosses have raised UK prices for the second time this year – with the cheapest plan going up by a third

There is bad news for Netflix users after bosses raised the prices of UK subscriptions for the second time this year.

The streaming platform, which houses Stranger Things, Love Is Blind, Bridgerton, Selling Sunset and many other beloved programmes, has updated its pricing – with the cheapest rising by a third.

Customers will be given 30 days’ notice by email before the changes. Those with the standard plan with ads will now pay £7.99 a month, up from £5.99, while the advert-free option has moved from £12.99 to £13.99.

Users who have a premium plan, which allows them to add extra members and stream on more devices, will pay £20.99 from their next billing cycle, a change of £2.

For viewers who want to add an extra member for their subscription, they will have to pay £5.99 under new guidelines, up from £4.99.

This is the second time that the prices have increased this year, with previous changes being introduced in February.

A spokesperson said, via Deadline, that the changes “reflect improvements to our wide range of entertainment and the quality of our service.”

“Our approach remains the same: we continue offering a range of prices and plans to meet a variety of needs, and as we deliver more value to our members, we reinvest in quality entertainment and improve their experience by updating our prices,” the statement added.

“We know members have never had more choices in entertainment, and we’re committed to delivering an experience that meets and exceeds their expectations.”

The news was confirmed just after the second series of Guy Ritchie’s acclaimed drama, The Gentlemen, landed on the platform, with many high-profile releases still to come.

Keira Knightley will be returning in season two of Black Doves in November, while a documentary on late Friends actor Matthew Perry will hit screens at the end of October.

In recent years, original shows including Adolescence, Baby Reindeer, The Crown and Ozark have collected a string of awards. Fans have also raved about Netflix’s film slate, including Voicemails for Isabelle, Nonnas, Carry-On and Rebel Ridge.

Like this story? For more of the latest showbiz news and gossip, follow Mirror Celebs on TikTok , Snapchat , Instagram , Twitter , Facebook , YouTube and Threads .

Borrowing costs across some of Europe’s biggest economies have surged to their highest levels in more than 15 years, as a renewed sell-off in global bond markets gathers pace.

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The global bond rout pushed Germany’s benchmark borrowing costs to a 15-year high on Tuesday, with France, Italy and the Netherlands all seeing similarly steep rises.

Germany’s 10-year Bund climbed above 3.36% on Tuesday, according to Trading Economics. Later, the yield went down a bit and traded at around 3.34%.

Bond yields move inversely to prices. When investors sell bonds, prices fall, and because a bond’s fixed interest payment becomes worth more relative to that lower price, the effective yield rises.

In short — the more bonds get sold, the more it costs governments to borrow.

Sovereign debt came under renewed pressure as rising oil prices and increasingly hawkish signals from major central banks reinforced bets that interest rates will stay higher for longer.

The yield on Germany’s 30-year Bund surged above 3.84%, also its highest level since 2011. The French 10-year OAT yield rose to its highest level since November 2008, trading slightly above 4.215% at around 10.45 CEST on Tuesday. The equivalent Italian yield was trading slightly lower at 4.188 at the same time.

At the same time, the Dutch 10-year government bond yield increased to 3.43%, its highest level since May 2011. Spain’s 10-year yield climbed above 3.80%, its highest level since November 2023.

Investors are concerned that rising energy prices will fuel inflation around the world, potentially prompting interest-rate increases by central banks in the US, Japan and the eurozone, among others.

These concerns were reinforced in the eurozone on Tuesday morning, as the latest flash inflation data from Eurostat showed that energy prices were 14.3% higher than a year earlier. This helped push eurozone inflation to 3.3% in August, up from 2.9% in July. This is significantly above the ECB’s 2% target.

The central bank is due to hold its next monetary policy meeting next week, and most investors are betting on a 25-basis-point rate hike.

Leo Barincou, senior economist at Oxford Economics, said: “With inflation still accelerating, the ECB is all but certain to hike at next week’s meeting, in line with our expectations.”

Looking at the largest European economies, analysts say Germany’s Bund has moved largely in line with global benchmarks, while France faces an additional risk premium because of its political and fiscal outlook.

French 10-year borrowing costs have exceeded Italy’s for much of the summer, as France increasingly replaces Italy as the main focus of European debt concerns.

According to the IMF, France’s gross government debt is projected to reach 118.4% of GDP this year and 120.5% in 2027. France currently has the third-highest debt-to-GDP ratio in the EU, after Greece and Italy.

The Banque de France expects the budget deficit to reach 5.2% of GDP this year. Difficult budget negotiations ahead of the 2027 presidential election have raised doubts about the government’s ability to reverse this trend.

Robert Timper, BCA’s chief fixed-income strategist, previously told Euronews Business: “We have held the view for some time that France is the country in the euro area with the most unsustainable fiscal outlook, and its borrowing cost should reflect that.”

“To get back to a sustainable fiscal path, France needs to do substantial reforms, which will be unpopular as they will curtail welfare spending,” Timper said. “A large political majority is therefore necessary for such reforms, or a bond market riot will force reforms.”

Global bond sell-off

Expectations of persistently high inflation and rising borrowing costs also pushed the yield on 10-year US Treasuries to its highest level since January 2025. The yield on the 10-year Treasury was trading at around 4.78% on Tuesday.

In the US, higher energy prices have added to already stubborn inflation, which remains well above the Federal Reserve’s 2% target. Inflation has weighed on household spending and consumer confidence, complicating the Fed’s decisions on interest rates.

According to Bloomberg, traders raised the probability of a September US rate hike to about 70%, extending a repricing that began last week when Federal Reserve Chair Kevin Warsh doubled down on a pledge to tame inflation.

The sell-off also spread to Asia, where Japan’s benchmark 10-year government bond yield reached 3.00% for the first time since 1996.

Government bonds have traditionally been seen as safe-haven assets during periods of uncertainty.

That role is being tested as investors become increasingly concerned that global conflicts and higher energy prices could produce a prolonged period of stagflation — a combination of high inflation and weak or zero economic growth.

Wheat prices have risen sharply amid disruptions to Black Sea exports as the Russia-Ukraine war continues and as changing weather patterns cause droughts that have sharply reduced production.

Over the past month, Russia and Ukraine have stepped up attacks on each other’s grain terminals on the Black Sea. With Russia the world’s largest wheat exporter, and Ukraine among the top 10 grain-producing countries, these attacks have taken their toll on global wheat and grain supply.

Chicago wheat futures, the global benchmark for the grain market, hit a three-year high on Friday, before nudging down 0.54 percent on Monday to $7.79 per bushel by 02:00 GMT. Authorities in Russia’s Rostov region called a state of emergency on Friday after announcing that port closures and navigation disruptions in the Sea of Azov and Black Sea basin have led to a pile-up of agricultural products at farms.

Meanwhile, the rising temperatures and lack of rain have threatened to cut this year’s wheat harvest in South Africa’s Swartland, which produces about 20 percent of the country’s wheat.

Here’s what we know:

What impact is the Russia-Ukraine war having on prices?

Over the past month, strikes on ports, vessels and grain facilities amid the Russia-Ukraine conflict have disrupted grain terminals and forced shippers to delay or cancel cargo loadings during the peak export season.

While Russian missile attacks have impacted Ukraine’s grain exports, Ukraine’s drone attacks in the Sea of Azov have also sharply curtailed Russian shipments of both grain and wheat. At the same time, attacks on Russia’s Novorossiysk and Taman ports have increased shipping costs out of its Black Sea ports.

According to Ukraine’s Ministry of Infrastructure, in July, Ukraine suffered 35 Russian attacks on vessels in port, 22 at sea and 67 on port facilities. By comparison, the total number of vessel strikes for the whole of 2025 was just 14.

On Friday, Kyiv’s agricultural minister said recent Russian air attacks have destroyed around 90 percent of retailers’ food logistics. With transport of wheat curtailed, prices have risen, raising fears of food insecurity around the world.

Joe Glauber, a research fellow emeritus in the director general’s office at the International Food Policy Research Institute, said that the issue, therefore, is less the amount of wheat being produced and more about the cost of getting it to buyers and consumers.

“There’s plenty of wheat in Russia and Ukraine, and ultimately that wheat will make it out on to the market. But right now it can’t, or it comes out with a very high cost, and so wheat prices have reflected that,” he told Al Jazeera.

“There’s a lot of wheat in the world…it’s not a question of availability, it’s a question of affordability,” he added.

Egypt, the world’s largest wheat importer, usually spends around $3bn per year on importing wheat. In the first half of 2026, it sourced more than 82 percent of its stock from Russia and Ukraine.

In Asia, second-largest wheat importer Indonesia bought $361m of wheat from Ukraine and $102m from Russia between 2023 and 2024, according to the Observatory of Economic Complexity. Indonesia usually sources between 15 percent and 20 percent of its wheat from the two countries.

An official at Indonesia’s Flour Millers’ Association told Reuters last week that current stocks can meet immediate food-grade wheat requirements. “But we don’t have abundant or excess supply. We have to look at other origins such as Bulgaria, Australia, Romania and Argentina for cargoes that do not get shipped from Russia and Ukraine,” the official said.

How does climate change fit into this?

Besides the war in Ukraine, droughts and drier weather patterns have taken a toll on wheat production and contributed to rising prices.

According to the United States Department of Agriculture (USDA), as of July 1, the US, also one of the biggest wheat exporters, is forecast to yield “46.7 bushels per acre, down 0.1 bushels from last month and down 8.2 bushels from last year’s average yield of 54.9 bushels per acre”.

“If realised, the United States yield would be the lowest since 2015,” the USDA said.

In a report updated on August 14, the department wrote: “This year’s small crop is a product of long-term decline in US wheat acreage and widespread drought impacts on HRW [Hard Red Winter wheat] production in the Great Plains States. Total wheat supplies are forecast down 13 percent from the previous year, with larger beginning stocks dampening the effect of the smaller crop.”

For Canada, the world’s sixth-largest wheat producer, the USDA’s Foreign Agricultural Service found that for the 2026-2027 production year, total production is forecast to be 34.6 million metric tons (MMT) – also 13 percent lower than the year before – due to reduced planted area and a return to lower-than-average yields.

Amid the heatwaves that have hit European countries over the past three months, wheat production in the bloc has also reduced. According to COCERAL, the European association of trade in cereals, oilseeds, rice, pulses, olive oil, oils and fats, animal feed and agrosupply, the excessive heat is expected to reduce grain crops in 2026 by around 9 million tonnes to 286 million tonnes.

In a report published in July, COCERAL said: “The weather has started to affect corn pollination in the southern half of France and in Hungary. More damage is expected from the forecast heat in other parts of the EU.”

The El Nino weather pattern is also expected to bring drier-than-usual conditions to the Southern Hemisphere this year, with South Africa and Australia expected to experience droughts as a result.

What can be done to mitigate all this?

While the Russia-Ukraine war continues, in July 2022, the year the war started, a Black Sea Grain Initiative was brokered to allow for the safe exports of grain, food and fertiliser from Ukrainian ports to stabilise and lower global food prices.

While that agreement held, more than 1,000 ships full of grain and other foodstuffs left Ukraine, according to the EU. However, Russia ended the agreement in July 2023.

The answer to the current crisis is far from easy, experts say.

Bringing prices down now would necessitate a major shift in war strategy by both Russia and Ukraine, while the impact of climate change could be mitigated by governments implementing policies including improving water management on farms through the use of reservoirs to support drought-affected crops and reduce the loss of production.

Moreover, Glauber explained, while alternative routes exist to ship out grain from Russia and Ukraine, they are costly, adding that a return to a possible Black Sea Grain Initiative “would help calm wheat markets a lot”.

One answer may be for other countries to step in.

According to Glauber, during the 2022 global grain price surge, other wheat producing countries such as India exported more to make up for shortages.

“India, for example, had record exports in 2022. It’s probably less likely this year, just because of El Nino and other other factors affecting them, but they could also provide more wheat. I think the world wheat market proved very resilient in 2022, and I expect we’ll see the same in in 2026,” he said.

Asian stocks fell on Monday as hawkish comments from Federal Reserve boss Kevin Warsh saw investors ramp up bets on a US interest rate hike, while oil prices spiked after a fresh flare-up in the US-Iran war.

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With inflation remaining stubbornly high – largely on the back of elevated energy costs – the US central bank has come under pressure to act, and Warsh’s refusal to provide guidance has stoked uncertainty.

But in a highly anticipated speech at the Jackson Hole symposium of central bankers and economists in Wyoming, he left traders with few doubts that he was ready to increase borrowing costs.

Warsh said: “We must be confident that underlying inflation is moving to our objective, clearly and at sufficient speed. Otherwise, we have work to do.”

He called the spike in inflation – currently at 3.7% and nearly double the Fed’s 2% target – “concerning”, and said he would be “hard-pressed” to describe current financial conditions as “restrictive”, a potential hint that rate hikes could be on the horizon.

However, he stopped short of saying he would support a hike, adding: “I stand here today committed to a discipline, not to a decision.”

All three main indexes on Wall Street fell Friday. Yields on short-term US Treasury bonds – which reflect monetary policy expectations – jumped, and the dollar rallied against its peers. Gold, which benefits from lower interest rates, fell.

And Asia followed suit, with tech firms – which rely on borrowing to fuel their huge AI investments – leading the way down.

Tokyo, Seoul, Hong Kong, Shanghai, Taipei and Jakarta were all down, though Singapore and Wellington edged up.

Investors eye crucial data releases

Focus will now turn to a string of crucial data releases over the next two weeks before the Fed makes its decision, with jobs up this week and the consumer price index (CPI) next week.

“Should we get an inline payrolls print that does not give the Fed too much to work with, next week’s core CPI report will become the major decider for the market’s Fed belief system,” wrote Chris Weston at Pepperstone.

“The volatility priced around that outcome across rates, forex and equities could therefore be significant.”

Oil prices spike on US-Iran tensions

The Fed’s battle against inflation has been hobbled by the Iran war, which has pushed oil prices higher.

And after a run lower for most of last week, they spiked again on Monday, a day after the United States said it had attacked Iranian rocket launchers on a small island in the Strait of Hormuz, its first strikes on the country in a month.

The attack prompted Tehran to retaliate by hitting US military targets in Jordan. Both main crude contracts rose more than 2% on Monday.

The exchange came shortly after the US-Iran war hit the six-month mark, and at a time when hostilities had been subsiding.

The news revived concerns about the conflict, with attempts and peace talks appearing to be going nowhere and the strait – through which a fifth of global crude and gas passes – largely closed.

US officials this month vowed the “economic asphyxiation” of Iran to make it open the waterway.

“Hormuz is once again threatening to put a floor under oil just as Warsh is putting a ceiling on how much inflation patience markets should assume from the Fed,” said Quintex Intel’s Stephen Innes.

“For oil traders, (the) move is another reminder of how quickly the geopolitical premium can return.

“Physical flows through Hormuz have improved materially from their worst levels, which is precisely why crude had started giving back some of the fear premium, but the latest exchange shows how fragile that progress remains and how quickly the shipping story can be pushed back onto the trading desk.”

Additional sources • AFP