Welcome to Markets Desk, your midday read on what's moving markets and why.
Air New Zealand swung to a loss in fiscal two thousand twenty six, reversing the prior year's profit. The culprit is a familiar one: elevated fuel costs tied to Middle East conflict, compounded by engine availability constraints. Revenues did climb on stronger passenger traffic, but the cost side overwhelmed the top-line gains.
Staying in the energy complex, oil is on track for a weekly loss as supply prospects through the Strait of Hormuz continue to improve. That said, strategists at RBC Capital Markets are pushing back on the optimism, warning the market faces significant hurdles ahead. Six months into the Iran conflict, Wall Street remains genuinely divided on where crude goes from here, with the diplomatic picture still murky and Gulf flows subject to reversal.
Meanwhile, Russian forces are intensifying their push in Donetsk, claiming advances toward Sloviansk and Kramatorsk. Ukraine, for its part, is welcoming a fresh European Union effort to unlock frozen Russian assets, a move that could meaningfully bolster Kyiv's financial position. The geopolitical backdrop remains a live variable for energy traders watching every headline out of Eastern Europe.
That's the tape. Markets Desk, signing off the floor.
