Key insights
- Geopolitical tensions in the Middle East, specifically involving Iran and its attacks in Iraqi Kurdistan, are contributing to oil price volatility. The US is involved diplomatically, with Secretary of State Rubio expressing support for the KRG's role in global oil supply. Escalating conflict poses a downside risk to US equities due to potential energy price shocks and broader economic uncertainty.
By Kanishka Singh
WASHINGTON, March 26 (Reuters) - U.S. Secretary of State Marco Rubio spoke with Kurdistan Regional Government Prime Minister Masrour Barzani on Thursday, the State Department said, adding he expressed "gratitude" to KRG for enabling oil from Iraq, including from Iraq’s Kurdistan, to reach global markets.
"The secretary also expressed his gratitude to the Kurdistan Regional Government for enabling oil from Iraq, including from the Iraq Kurdistan Region, to reach global markets," the State Department said in a statement.
The Iran war has raised oil prices and shaken global markets.
The State Department said Rubio "offered his condolences to the families of the Peshmerga killed in an Iranian missile attack on March 24 and wished a speedy recovery to those injured."
At least six Kurdish Peshmerga fighters were killed and 30 wounded in a rocket attack on their base north of Erbil in Iraqi Kurdistan, a Peshmerga statement said on Tuesday.
The Peshmerga statement said Iran carried out a "treacherous attack," adding that six Iranian ballistic missiles struck a Peshmerga military headquarters north of Erbil early on Tuesday.
The Iran war began on February 28 when the U.S. and Israel attacked Iran. Tehran subsequently responded by launching its own attacks on Israel and Gulf states with U.S. bases. Joint U.S.-Israeli strikes in Iran and Israeli attacks in Lebanon have killed thousands.
U.S. President Donald Trump has offered shifting goals and timelines for the war, ranging from overthrowing Iran’s government to destroying its military and missile capabilities. On Thursday, he once again said he thinks his side has won the war.