Oil Prices Rally as US-Iran Peace Talks and Hormuz Reopening Hit a Deadlock

Global oil prices advanced on Tuesday following a stalemate in peace negotiations between the United States and Iran concerning the reopening of the Strait of Hormuz. This rally in the energy sector coincided with growing uncertainties over global inflation prospects, which have also constrained international stock market movements. Brent crude has surged approximately 5% over the past two days, recently trading near $88 per barrel. This price point marks the highest level since July 31, 2026, representing a nearly 25% recovery from the near four-month lows recorded in early July. The diplomatic gridlock intensified on Monday after U.S. President Donald Trump countered Tehran's proposed peace conditions by demanding that Iran pay compensation for lives lost during the war, related attacks, and protests. Such demands are expected to significantly complicate ongoing efforts to restore transit through the Strait of Hormuz, one of the world's most vital maritime corridors for global oil trade. According to IG market analyst Tony Sycamore, the current geopolitical landscape reflects a rigid standoff, with both Washington and Tehran remaining firmly entrenched as they wait for the opposing side to make the first concession.

https://internasional.kontan.co.id/news/harga-minyak-naik-negosiasi-as-iran-buntu-dan-selat-hormuz-jadi-sorotan

RBA Holds Benchmark Rate at 4.35% Amid Slower Economic Growth

The Reserve Bank of Australia (RBA) has opted to maintain its benchmark interest rate at 4.35%, a decision that aligns with broad market expectations. The central bank noted that the domestic economy is showing clear signs of a slowdown, largely driven by the ongoing impact of tighter financial conditions across the country. Despite the hold, the RBA board delivered a cautious message following the conclusion of its August 2026 policy meeting on Tuesday. The central bank warned that it remains fully prepared to increase interest rates again if necessary, emphasizing its unwavering commitment to doing whatever it takes to steer inflation back down to its target range of 2% to 3% should any upside risks materialize.

https://internasional.kontan.co.id/news/bank-sentral-australia-pertahankan-suku-bunga-acuan-di-level-435

Singapore Upgrades 2026 Economic Growth Forecast Amid Global AI Boom

Singapore has upwardly revised its economic growth outlook for 2026, driven by a stronger-than-anticipated surge in global artificial intelligence (AI) investments and a more muted economic impact from the ongoing Middle East conflict. These favorable conditions are expected to significantly bolster business and trade activity throughout the second half of the year, providing a strong tailwind for the nation's economy. In an announcement on Tuesday, the Ministry of Trade projected that the country's economic growth will land between 4.5% and 5.5% for the year, a substantial increase from its prior estimate of 2.0% to 4.0%. This optimistic adjustment follows a robust second-quarter performance, where Singapore's gross domestic product (GDP) expanded by 5.9% year-on-year, successfully surpassing the initial preliminary forecast of 5.7%.

https://internasional.kontan.co.id/news/singapura-kerek-proyeksi-pertumbuhan-ekonomi-2026-jadi-45-55