GERMANY'S MERZ ON IRAN WAR: IRANIANS ARE OBVIOUSLY NEGOTIATING VERY SKILLFULLY

CDU leader Friedrich Merz acknowledged Iran's skillful negotiation tactics amid rising geopolitical tensions, underscoring diplomatic complexity in ongoing discussions over regional security and nuclear policy. The comment highlights a shift in European political perception, which may affect risk appetite toward Middle Eastern assets and influence EU coordination on sanctions or energy policy. While direct market exposure to Iran remains limited due to existing sanctions, shifts in diplomatic tone can impact regional risk premiums, particularly in oil markets and via spillover effects on Gulf-based capital flows. Increased political risk in the Strait of Hormuz could tighten global energy supply expectations, supporting front-month Brent crude futures. Traders will watch upcoming OPEC+ meetings and tanker tracking data for signs of supply disruptions or deliberate shipping delays.

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