14/04/2026

BIZ & FINANCE TUESDAY | APR 14, 2026

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Oil surges, stocks fall after US-Iran peace talks fail

World monetary system not ready for AI cyber threats: IMF chief WASHINGTON: The global monetary system is not prepared to address artificial intelligence’s rapidly escalating risks, the IMF managing director warned on Sunday, as a new Anthropic model raises urgent cybersecurity concerns. Kristalina Georgieva’s comments came a day before the International Monetary Fund and World Bank kick off their annual spring meetings in Washington, and after US regulators last week convened an emergency meeting with top bank chiefs over the new AI model. “We don’t have the ability to – us as a world – to protect the international monetary system against massive cyber risks,“ she told CBS News’ Face the Nation programme. “We are very keen to see more attention to the guardrails that are necessary to protect financial stability in a world of AI,“ she said, seeking global collaboration on the issue. “Yes, this is an issue that has been addressed here in the United States, but it is an issue that easily can present itself in other parts of the world, and that is why we need people to cooperate.” Anthropic announced on April 7 that it was limiting the release of its new “Mythos” model over risks posed by its unprecedented ability to rapidly identify security vulnerabilities. The company said it was working with a consortium of major US firms to test the model, raising concerns that foreign companies may miss out on vital safety preparations. – AFP India’s March palm oil imports fall 19% to three-month low MUMBAI: India’s palm oil imports in March dropped nearly 19% on-month and hit a three month low after a rally in tropical oil prices, in line with energy markets, prompted refiners to hold back purchases, a trade body said yesterday. Lower imports could deplete stocks and support local oilseed prices, but may force the world’s biggest edible oil importer to step up overseas buying in the coming months to replenish stocks. India’s palm oil imports in March fell to 689,462 metric tons, the lowest since December 2025, down from 847,689 tons in February, the Mumbai-based Solvent Extractors’ Association of India (SEA) said in a statement. Imports of soyoil dropped 4% to 287,220 tons, while those of sunflower oil were up about 35% at 196,486 tons, the SEA said. India’s overall edible oil imports fell more than 9% from February to 1.17 million tons in March, the lowest since April 2025, as palm oil and soyoil purchases declined, the data showed. India sources most of its palm oil from Indonesia and Malaysia, while soyoil and sunflower oil are imported mainly from Argentina, Brazil, Russia and Ukraine. Supplies of rapeseed oil from the new-season crop are rising, helping to limit imports in the short term, said a Mumbai-based dealer with a global trade house. – Reuters

o American military ships to blockade all Iranian Gulf ports

HONG KONG: Oil prices surged and stocks sank yesterday after US-Iran peace talks fell apart and Donald Trump announced a blockade of the strategic Strait of Hormuz, adding to fears for energy supplies from the Middle East. Negotiations in Islamabad at the weekend fell apart with the US delegation – led by Vice President JD Vance – blaming Iran’s refusal to give up its nuclear programme and Tehran hitting out at “maximalism, shifting goalposts, and blockade”. The news dealt a blow to hopes for an end to the six-week conflict, which has sent crude prices soaring, pushing inflation up and sending shivers through the global economy. Oil prices – which tumbled last week after the United States and Iran agreed to a ceasefire – jumped more than eight percent at one point yesterday, with both contracts topping US$100 a barrel. Equities fell, with Tokyo, Hong Kong, Seoul, Sydney, Mumbai, Singapore, Taipei and Jakarta well down, though Shanghai edged up. London, Paris and Frankfurt were also in negative territory. Shares in Hungary jumped more than three percent after conservative Peter Magyar won a thumping majority in parliamentary elections Sunday, ousting Prime Minister Viktor Orban, who had ruled for 16 years. In a lengthy social media post, President Trump said his goal was to clear the strait of mines and reopen it to all shipping. But he said Iran must not be allowed to profit from controlling the waterway – through which a fifth of global oil and gas usually passes. “Effective immediately, the United States Navy, the Finest in the World, will begin the process of BLOCKADING any and all Ships trying to enter, or leave, the Strait of Hormuz,” Trump wrote on Truth Social. “Any Iranian who fires at us, or at peaceful vessels, will be BLOWN TO HELL!” He said the blockade would only apply to vessels travelling to or from Iranian ports. The US military said it would blockade all Iranian Gulf ports, effectively seizing control of maritime traffic. Iran’s Revolutionary Guards said its security forces had full control over the strait and warned enemies would be trapped in a “deadly vortex” in case of any “wrong move”. Iran’s navy chief Shahram Irani called the American president’s threat

Vessels and a boat at the Strait of Hormuz, off the coast of Oman’s Musandam province. – REUTERSPIC

The uncertainty about when production will return should support prices.” Still, Saxo Markets’ Charu Chanana added: “It was always a tall order to secure a deal in one sitting given the number of sticking points still on the table, including missiles, nuclear restrictions, proxy dynamics, the Strait of Hormuz, and sanctions. “The fact the talks happened at all matters. There is still a chance negotiations restart, especially with some reports suggesting the two sides were not far apart on at least some points.” Investors are also keeping an eye on attempts to resolve the conflict between Israel and Hezbollah, as Lebanese Prime Minister Nawaf Salam said he was pushing to ensure the withdrawal of Israeli forces. “We will continue to work to stop this war, to ensure the Israeli withdrawal from all our lands, the return of all the prisoners, to rebuild our destroyed villages and towns, and the safe return of the displaced,” Salam said. The prospect of the Middle East crisis continuing for the foreseeable future ramped up inflation fears and weighed on gold amid expectations interest rates would be kept elevated. Data Friday highlighted the impact of the conflict on prices, with the US consumer price index spiking at 3.3% in March, its highest since May last year. – AFP

“ridiculous and funny”, according to state TV. After the talks – the highest-level meeting between the two sides since the 1979 revolution – Vance said Washington had made Tehran its “final and best offer”, adding: “We’ll see if the Iranians accept it.” Iran’s Foreign Minister Abbas Araghchi said the rivals had been “inches away” from a deal, writing on X that “Iran engaged with US in good faith to end war”. But he added “we encountered maximalism, shifting goalposts, and blockade”. Nicole Grajewski, an assistant professor at the Center for International Research at Sciences Po in Paris, warned that a US blockade was “not a minor coercive signal” but would rather be considered an effective resumption of the war. Malcolm Melville, of Schroders, warned that even if a breakthrough in ending the war is eventually made, prices would likely remain elevated for some time. “While shipping levels could return to normal quickly, it will take weeks or even months for production levels to return to normal given the 10 million barrels a day of shut-in production and damage to some facilities,“ he wrote. “This should mean that front-month oil prices (i.e. oil for near-term delivery) are unlikely to fall to pre-conflict levels quickly.

New Zealand’s a2 Milk cuts fiscal 2026 earnings outlook WELLINGTON: New Zealand’s a2 Milk slashed its fiscal 2026 profit guidance yesterday, citing temporary supply chain disruptions that have despite efforts to accelerate shipments with partners in New Zealand and China.

stake – as a contributing factor to product shortages. Although production had recently returned to target levels, the company said a “significant backlog” remained. In a separate statement, Synlait said it was rebuilding inventory and managing supply chain disruptions, but enhanced testing were delaying product release times and impacting capital needs. – Reuters

It also cut full-year revenue growth guidance to the low- to mid-double-digit range from a mid double-digit outlook, and trimmed its operating earnings margin outlook to 14%-14.5% from at least 15.5% previously. a2 Milk said supply chain disruptions would materially hit China-label infant formula availability in the fourth quarter of fiscal 2026, mainly in April and May,

a2 Milk said in-market availability of its China-label infant milk formula has been hit by low inventory levels, strong demand and higher freight costs since the conflict erupted in the Middle East. As a result, the company now expects full-year 2026 net profit after tax to be broadly in line or below the NZ$202.9 million (RM467 million) reported in fiscal 2025, having previously forecast growth from the prior fiscal.

“It is early days, but should these supply challenges persist for some time, it may reignite the debate as to whether a2 should be manufacturing in-country in China,“ Citi analysts said. The company flagged past manufacturing challenges at Synlait Milk – in which it owns a nearly 20%

constrained the availability of its China label infant milk formula, sending its shares to a more than two-month low. Shares of the company closed down 12.4% at NZ$9.82, the lowest close since late January and the biggest daily decline since mid-August 2024.