Coralisle Group Ltd. (CG) has announced the rebrand of its longstanding corporate wellness programme, Zest Wellness, to CG Wellness, effective May 30, 2026. The evolution reflects the programme’s deep integration into CG’s health and medical insurance offerings and reinforces its role in supporting healthier lives across the communities that CG serves.
For more than a decade, the programme has supported thousands of members through preventative health initiatives, educational resources, and practical tools designed to promote physical, mental, and overall wellbeing. The transition to CG Wellness reflects the company’s commitment to positioning wellness as a core offering across its products and services.
“Rebranding Zest Wellness to CG Wellness is a natural progression for a programme that was created by CG for our members,” said Naz Farrow, Chief Executive Officer “This evolution ensures the programme is clearly aligned with our broader mission and identity, and that it continues to be recognized as an integral part of how we deliver value to our clients, supporting healthier, more resilient communities.”
Jacqueline Perreault, Director of Wellness at CG and the original creator of the programme, highlighted its long-standing impact and future potential. “What started as a vision to enhance wellbeing has grown into an award-winning programme that meaningfully complements CG’s health insurance offerings,” she said. “As CG Wellness, we see even greater opportunity to ensure wellness remains a central pillar of the CG experience, while expanding access to organizations beyond CG that are committed to building healthier, more resilient workforces.”
To mark the rebrand, CG will host Bermuda’s first CG Wellness Festival on Saturday, May 30 at Albuoy’s Point from 10am to 4pm. The free, public event will bring together the community for a day focused on health, wellbeing, and connection.
Attendees can expect a vibrant mix of local vendors, live entertainment, a kids zone, and fitness and educational experiences designed to inspire healthier lifestyles. The festival reflects CG’s broader commitment to making wellness accessible, engaging, and community-driven.
For more information and the full schedule of events, visit the link here: https://cgzestwellness.com/cg-wellness-festival-2026
In the second of a two-part commentary, Michael Fahy backs elements of Government policy on housing, but also highlights its flaws
Michael Fahy: “The answer is a Housing Investment Act, the residential equivalent of the Tourism Incentive Act.”
Statement by Michael Fahy, OBP MP for Constituency 20, Pembroke South West and Shadow Minister of Economy, Labour & Housing:
There is a version of the Bermuda Affordable Housing Strategy 2025–2035 that I could support without reservation. It would take the genuinely good elements of this document, the demographic analysis, the modular construction pivot, the derelict stock programme and the vacancy tax concept, and add to them the private-sector activation engine, the immigration-housing linkage, the legislative urgency and the financing architecture that the current draft lacks.
Let me explain what that looks like in practice.
The single most important thing this document does not do is reconnect housing and population policy as two sides of the same equation. The Chamber of Commerce said it plainly that the housing crisis and the population crisis are joined at the hip. The OBA has said this for years. It is not a controversial position. It is arithmetic.
When the PLP introduced term limits in the early 2000s, longer-term residents who had been renting three and four-bedroom family homes left the island and were replaced by short-stay workers, many of them single or married without children, who moved directly into competition with Bermudians for one and two-bedroom units. That policy choice structurally depleted the very segment of the rental market that Bermudians most need. The digital nomad programme, well-intentioned in isolation, had the identical effect. Further, as our population ages, with seniors increasingly moving from family homes into the one and two-bedroom market, that competition deepens every single year.
A housing strategy that does not acknowledge this dynamic is working with a broken model. To build 950 to 1,350 units while simultaneously replenishing immigration demand for the same unit typologies, without any regulatory adjustment, is to fill a bath without fixing the drain.
The solution is not to restrict immigration. The opposite is true. The Chamber’s research estimated that Bermuda requires approximately 8,418 additional working-age people to sustain our ageing population and fiscal base. A larger, skilled and stable population makes Bermuda more prosperous for everyone. Empty houses do not pay rent to Bermudian landlords. Empty restaurant tables do not keep Bermudian waitstaff employed. The Fiscal Responsibility Panel put it clearly, immigrants and returning Bermudians with the right skills will help to create jobs, not displace them.
What needs to change is the structure, not the volume. We should be incentivising the return and retention of longer-term, family-forming residents who will live in larger units and contribute across all segments of the housing market, not a revolving succession of short-stay workers who remain in permanent competition in the most constrained segment of the market.
That means clear pathways to permanent residency. It means a guest worker framework that rewards long-term commitment rather than churning term-limited licences. It means building the population that will fund the hospitals, pension contributions and school places that an ageing Bermudian society will need, and it means building enough housing to accommodate that population when they arrive.
Now to how we actually build it.
The strategy’s instinct to go modular and precast is somewhat correct. At $500 to $700 per square foot against $800 to $1,000 for traditional masonry, modular systems offer Bermuda its only realistic path to cost-competitive affordable construction. The Government’s customs duty reduction on construction materials to 10 percent, a policy the OBA pressed for and eventually received, is a genuine step. It should be pushed further to zero, and the foreign currency purchase tax on construction financing should be eliminated entirely.
However, reducing construction costs without addressing the fundamental disincentive for private developers is only half the equation. Construction replacement costs exceed market values by more than 20 percent. That means a developer who builds affordable housing is, by definition, building at a loss relative to the underlying asset value. No commercial actor will consistently operate at a loss unless something changes the underlying equation.
The answer is a Housing Investment Act, the residential equivalent of the Tourism Incentive Act. Provide time-bound land tax exemptions, duty relief and density bonuses to developers who build in Hamilton and other designated zones, require a minimum 30 percent affordable component, and tie the relief to ten-year minimum rental terms on the affordable units. This is not a subsidy. It is the correction of an incentive structure that currently prices private investment out of the affordable market entirely.
On the derelict stock question, the strategy’s Repair-to-Rent programme and Land Bank model are sound in concept. But I want to be clear about the compulsory acquisition powers proposed in this document. Before we begin acquiring properties from Bermudians, we should have exhausted every less coercive option first. I said this in March 2026, and I will say it again. Before we run off and acquire homes already owned by Bermudians to then sell or lease to other Bermudians, let us look again at selling or offering long-term leases over government property and incentivise the private sector to build on it.
The Government owns land. It owns buildings. It owns properties in St. George’s multiple schools and institutional sites across multiple parishes. Before compulsory acquisition legislation is enacted, publish an honest and complete accounting of every government-owned asset with residential conversion potential, and offer long-term leases to private developers and housing cooperatives on commercially reasonable terms. That costs almost nothing and could deliver supply in months rather than years. Empty schools should top this list!
The probate issue deserves one final emphasis. The Chamber identified approximately 3,678 dwellings effectively unaccounted for in the gap between assessment roll numbers and occupied households. A substantial portion of Bermuda’s 214 uninhabitable properties are inheritance disputes waiting to be resolved. Faster processing, simplified mediation and clear legal guidance for co-ownership disputes could return hundreds of units to the market at negligible public cost. This should be a 2026 legislative priority, full stop. What the strategy ultimately needs, and what Bermuda ultimately deserves, is the honest acknowledgment that the housing crisis is the accumulated consequence of specific policy choices: term limits, planning conservatism, Landlord-Tenant Act neglect and two decades of BHC under-investment. Fixing it requires the political courage to reverse those choices, not merely the institutional ambition to manage their consequences.
HOME’s Executive Director Denise Carey described the goal with exactly the simplicity it deserves, namely homeownership that is secure, attainable and generational.
That is the Bermuda I want to build. It is the Bermuda this strategy claims to be building. The gap between the claim and the construction timeline is the only political question that matters right now.
We know what to do. The question that remains unanswered, after thirty years of housing headlines, after twenty-one years of PLP governance and after the publication of this 66-page strategy, is whether anyone in authority is prepared to actually do it.
Michael Fahy is the Shadow Minister of Economy, Labour & Housing, and the OBA MP for Pembroke South West. He can be reached at mfahy@oba.bm or opedfahy@gmail.com
Two popular service stations owned by the Terceira family have made the switch from Rubis to ESSO – Terceira’s North Shore and Warwick gas stations. Qian Dickinson spoke with owners Teddy and Michael Terceira, and Operations Manager Allan Young about why the decision was made, the process behind the transition, and what the public can expect as a result of their new partnership with ESSO.
Murrell is the former husband of ex-SNP leader Nicola Sturgeon, who suddenly resigned in 2023, shortly before she was arrested as part of the probe into the party’s finances
International News via Reuters:
Former Scottish National Party chief executive Peter Murrell on Monday pleaded guilty to embezzling more than £400,000 ($540,000), admitting diverting funds from the party which were used to buy items such as cars, a motorhome and luxury goods.
Murrell is the former husband of ex-SNP leader Nicola Sturgeon, who suddenly resigned in 2023, shortly before she was arrested as part of the probe into the party’s finances. She was cleared of wrongdoing in March last year.
The police probe and the arrest of the SNP’s longest-serving leader were deeply embarrassing for the pro-independence party which has dominated Scottish politics for most of the last two decades.
Police had been investigating what had happened to money raised by Scottish independence campaigners in 2017 which was supposed to have been ring-fenced but had allegedly been used for other purposes.
In written terms of his guilty plea, Murrell admitted embezzling £400,310.65 from the SNP between August 12, 2010, and January 13, 2023, about £60,000 less than he was originally charged with.
“Peter Murrell has shown utter contempt for the high public trust placed in him as the Chief Executive of a political party and his position in the wider political establishment in Scotland for many years,” said Police Scotland’s Assistant Chief Constable Stuart Houston.
“He abused his privileged position with access to Scottish National Party funds to divert cash into his own accounts and bankroll the lavish lifestyle he craved but could not afford.”
The details of the indictment showed he had used the funds to buy several vehicles, as well as items from luxury brands such as Estee Lauder and Harrods.
Murrell was remanded in custody and will be sentenced on June 23.
($1 = 0.7412 pounds)
Reporting by Alistair Smout, additional reporting by Sam Tobin; Editing by Gus Trompiz
The flag carrier, which is being partially privatised, said the expected impact of jet fuel prices should be somewhat mitigated by capacity management, cost controls and pricing adjustments through a fuel surcharge
International News via Reuters:
Portugal’s airline TAP said on Monday its first-quarter loss narrowed 63% from a year ago to €39.9 million ($46.5 million) on higher revenue, but warned that rising jet fuel prices due to the Iran conflict will weigh in coming quarters.
• The flag carrier, which is being partially privatised, said the expected impact of jet fuel prices should be somewhat mitigated by capacity management, cost controls and pricing adjustments through a fuel surcharge.
• Revenue rose 11% to €914 million, driven mainly by a 10% increase in passenger revenue to €810 million and a 32% jump in aircraft maintenance revenue, alongside capacity growth.
• Passenger numbers rose 6.4% to 3.7 million and load factor improved 4.8 percentage points to 83.5%, driven by South and North American markets.
• EBITDA reached €92 million in the first quarter, reversing a negative €9.5 million a year earlier.
• Operating costs remained broadly stable at around €954 million, with jet fuel costs still down 16% to €196 million in the quarter, but staff costs rising 9% to €252 million.
($1 = 0.8590 euros)
Reporting by Sergio Goncalves; editing by Andrei Khalip, Kirsten Donovan
The comments came during public hearings in the wide-ranging inquiry known as a Royal Commission that focus on events prior to last December’s Bondi attack, which killed 15 attending a Jewish Hanukkah celebration at the famed Sydney beach
International News via Reuters:
Australian state police did not prepare a threat assessment for the event where the Bondi Beach mass shooting occurred and denied a request from the Jewish community to station officers there, an inquiry into the attack heard on Monday.
The comments came during public hearings in the wide-ranging inquiry known as a Royal Commission that focus on events prior to last December’s Bondi attack, which killed 15 attending a Jewish Hanukkah celebration at the famed Sydney beach.
A New South Wales police officer said no threat assessment was prepared for the event, but agreed in hindsight that one would have been appropriate.
“I see no reason why a threat assessment could not be completed for that event,” said Assistant Commissioner Leanne McCusker, adding that such an exercise would have enabled security arrangements that matched the threat level.
Threat assessments are generally limited for gatherings classed as major events, including Jewish high holy days, but not Hanukkah.
The inquiry also heard that state police were warned of the risks by CSG, a Jewish private security service group, before the attack.
CSG gave them its own threat assessment, warning of a heightened risk of violent or antisemitic incidents at Hanukkah, the inquiry heard.
This stemmed from “the anticipated visibility of identifiably Jewish individuals in public spaces and the prominence of the festival”, such as the Bondi event, the inquiry heard.
An anonymous CSG member said he requested “static” police officers at the event in view of the risk, the numbers expected to attend and the fact that it was to be held in the open air, where CSG could not carry arms.
But police did not believe they were required, he added.
“I said that there would be a lot of unease from the community not having a static police presence on the ground.”
TERROR THREAT LEVEL RAISED
The inquiry was also told that antisemitism in Australia was left unchecked after the outbreak of the Israel-Gaza war, which fuelled violence against Jewish people and led the spy agency to raise the national terrorism threat level to “probable” from “possible” in August 2024.
“The war in the Middle East invoked a range of emotions in Australia,” said Mike Burgess, director-general of the Australian Security Intelligence Organisation.
“Some of those violent aspects … and those behaviours, including antisemitism that, in our view, were left unchecked, were therefore normalised and gave more permission for violence … and Jewish Australians were on the receiving end.”
From late 2024, Burgess said, antisemitism also escalated from threats and intimidation to direct targeting of people, businesses and places of worship.
Such incidents included vandalism and arson targeting homes, schools, synagogues and vehicles before the Bondi attack.
Burgess said the agency concluded that Iran’s elite Islamic Revolutionary Guard Corps was behind two antisemitic attacks, on a kosher restaurant in Sydney and Melbourne’s Adass Israel Synagogue.
Iran was probably involved in more attacks, but the agency “just can’t quite get there” in its efforts to nail down responsibility, he added.
“There was absolutely a concern that the antisemitism could escalate to actual terrorist acts” after the outbreak of the Gaza war in October 2023, said Stephen Nutt, an assistant commissioner of the Australian Federal Police.
The commission’s first series of hearings earlier this month focused on the nature and prevalence of antisemitism, taking testimony from members of the Jewish community.
Reporting by Christine Chen in Sydney; Editing by Clarence Fernandez
Among the group’s suspected leaders were two accountants and state employees who assisted farmers with submitting applications to receive EU farm funds based on false declarations of farm land, police officials said
International News via Reuters:
Greek police arrested 20 people on the island of Crete on Monday, saying they had dismantled a criminal gang suspected of defrauding the European Union of agricultural subsidies – the latest case in a growing scandal that has shaken the government.
Among the group’s suspected leaders were two accountants and state employees who assisted farmers with submitting applications to receive EU farm funds based on false declarations of farm land, police officials said.
Since starting to operate in 2019, the network’s illegal revenue topped €3 million ($3.49 million), police said in a statement.
Monday’s arrests are the latest in a series of local cases linked to a wider probe by the European Public Prosecutor’s Office – an independent EU office – into alleged crimes in Greece against the bloc’s financial interests.
Last year, European prosecutors charged dozens of Greek stock-breeders with faking ownership of grazing land to claim millions of euros in EU subsidies, with the alleged help of state employees and conservative politicians.
The scandal has made political waves in Greece, prompting parliamentary probes – which were inconclusive – as well as ministers’ resignations and calls for early elections by opposition parties.
At the request of the European chief prosecutor, parliament voted in April to lift the parliamentary immunity of 13 lawmakers from the ruling New Democracy party, so they can be investigated over their suspected role in separate cases.
Prime Minister Kyriakos Mitsotakis urged EU prosecutors to decide swiftly whether to indict the lawmakers, as he seeks to stem the political fallout from the probe before the next parliamentary election due by spring 2027.
($1 = 0.8589 euros)
Reporting by Yannis Souliotis; Writing by Renee Maltezou;Editing by Helen Popper
Here is a summary of how the Italian sports car maker got there after first using hybrid technology in its Formula One racing cars more than a decade ago
International News via Reuters:
Ferrari, renowned for its roaring V8 and V12 engines, is unveiling its first fully electric model, the Luce.
Here is a summary of how the Italian sports car maker got there after first using hybrid technology in its Formula One racing cars more than a decade ago.
2014
Hybrid powertrains introduced in Formula One. Systems to recover kinetic energy when braking had been used since 2009.
MAY 2019
Ferrari launches 1,000 horsepower, 4WD SF90 Stradale, its first mass-produced hybrid. It had launched a limited series LaFerrari hybrid in 2013.
Further hybrid models are launched in the following years, including the 296 family, the 849 Testarossa and the limited edition F80 supercar costing €3.6 million ($4.2 million).
SEPTEMBER 2021
Benedetto Vigna, a physicist who spent 25 years at chipmaker STMicroelectronics, takes over as CEO to drive Ferrari’s leap into electrification.
JUNE 2022
Vigna presents his first multi-year business plan for Ferrari, including a pledge that by 2030 electric models would make up 40% of its line-up, after the European Union launched an effective 2035 ban on the sale of new petrol-engine cars. He targets 2025 for Ferrari’s first fully electric model.
JUNE 2024
Reuters reports details of Ferrari’s first electric car, with a price tag pegged at more than €500,000.
Ferrari inaugurates a new ‘e-building’ within its Maranello complex to make electric cars and parts for EVs, as well as hybrids and some traditional combustion-engine models.
MAY 2025
Ferrari says its first EV will be launched through a three-stage unveiling process culminating with a world premiere in the spring of 2026. It adds deliveries to clients will start in October 2026.
JUNE 2025
Ferrari delays plans for second EV due out in 2026 to at least 2028, due to lack of demand for high-performance EVs, Reuters reports.
OCTOBER 2025
Ferrari unveils technology to power its first electric car.
The four-door, four-plus-seat car will have a specially designed sound system to amplify vibrations from its powertrain to create an electric Ferrari roar.
In a new business plan, Ferrari’s revised model mix targets 20% EVs, 40% hybrids and 40% internal combustion engine (ICE) models for 2030 line-up. That compares with a 2022 target of 40% EVs, 40% hybrids and 20% ICE models.
FEBRUARY 2026
Ferrari releases teaser images of first EV model, revealing its name as Luce – meaning light in Italian. LoveFrom, co-founded by former Apple designer Jony Ive, is involved.
Vigna says that Ferrari is opening pre-orders for the Luce in March, after “very positive” client feedback.
($1 = 0.8519 euros)
Reporting by Giulio Piovaccari; Editing by Adam Jourdan and Alexander Smith
Researchers modelled future ranges for numerous species of vascular plants, a category that accounts for almost all the world’s plants – those with water- and nutrient-carrying tissues
International News via Reuters:
Some of the plants that make familiar landscapes recognizable may not survive by century’s end as climate change becomes an increasingly important driver of species loss, according to scientists, reshaping and often shrinking suitable habitats that the plants need to survive.
Researchers modelled future ranges for numerous species of vascular plants, a category that accounts for almost all the world’s plants – those with water- and nutrient-carrying tissues. They looked at more than 67,000 species, meaning about 18% of the world’s known vascular plants.
They found that 7% to 16% could lose more than 90% of their range, placing them at high risk of extinction. Examples include Catalina ironwood, or island ironwood, a rare endemic California tree, bluish spike-moss from a plant lineage dating back more than 400 million years, and roughly one third of Eucalyptus species, one of Australia’s most recognizable plant groups.
The researchers came to their estimates after examining millions of records on plant locations as well as greenhouse-gas emissions scenarios for 2081-2100.
A plant’s habitat is not simply a place on a map, but the full array of conditions it needs: temperature, rainfall, soils, land use and landscape features such as shade.
“One way to picture this is to imagine plants trying to follow a moving ‘climate envelope.’ As temperatures warm, many species can shift northward or uphill to stay cool enough. But temperature is only part of the story,” Junna Wang, a Yale University postdoctoral researcher, and Xiaoli Dong, a professor of environmental science and policy at the University of California, Davis, said in joint comments to Reuters.
Wang and Dong helped lead the study published in the journal Science.
In many places, the study indicated, climate change is shrinking these combinations, leaving fewer areas where all the conditions that a species needs still exist together.
For plants, movement, or dispersal, usually happens across generations, via seeds or spores carried by wind, water, animals or gravity. Yet when the researchers compared realistic movement with a scenario in which plants could reach any newly suitable habitat, extinction rates were very similar.
“If slow movement were the main problem, then allowing unlimited dispersal should dramatically reduce extinction risk. But that is not what we found,” Wang and Dong said.
That matters for conservation.
“If dispersal limitation were the main driver, then strategies like assisted migration – physically helping species move to new areas – could solve much of the problem. But if climate change is reducing the amount of suitable habitat overall, then simply helping species move may not be enough,” they added.
The projected impacts vary by region. Cold-adapted plants in the Arctic may lose habitat as extreme cold climates shrink. Dry regions, including parts of the western United States and Mediterranean-climate regions, face risk from stronger drought, lower soil moisture and more frequent wildfires. In southern and eastern coastal Australia, coastlines may limit poleward shifts.
At the same time, local plant diversity could rise across about 28% of Earth’s land surface as species move into newly suitable areas, including parts of the tropics and subtropics where increased rainfall – rather than temperature alone – could make conditions suitable for additional species, the researchers found.
They described this as a global reshuffling, with some species disappearing from parts of their historical range while others move into new areas, but said local gains do not mean plants are doing better overall.
These shifts could also create “novel communities” – combinations of plants that have not historically lived together but would begin encountering one another for the first time. How would these interactions play out? The researchers said they do not know.
Plants underpin most terrestrial ecosystems. They store carbon, stabilize soils, support wildlife and provide food, timber, medicines and other materials. So changes in plant diversity can have cascading effects on nature and people.
“If climate change reduces vegetation cover, ecosystems may absorb less carbon dioxide from the atmosphere, which can further intensify warming. That creates a feedback loop in which climate change harms plants, and reduced plant cover/productivity in turn worsens climate change,” Wang and Dong said.
“Ultimately, protecting plant diversity is not only about conserving nature for its own sake – it is also about maintaining the ecological systems that support human societies,” they said.
Reporting by Marta Serafinko in Gdansk, Poland; editing by Will Dunham
The nearly three-month-long conflict in the Middle East has driven energy prices sharply higher and reshaped the global rates outlook, as inflation concerns intensify following Tehran’s effective shutdown of the key strait
International News via Reuters:
Stocks surged on Monday, while the U.S. dollar and oil prices slid as the prospect of a deal to end the Iran war buoyed risk appetite, although a lack of clarity over when the Strait of Hormuz would open kept enthusiasm in check.
The nearly three-month-long conflict in the Middle East has driven energy prices sharply higher and reshaped the global rates outlook, as inflation concerns intensify following Tehran’s effective shutdown of the key strait.
U.S. President Donald Trump said on Sunday he had told his representatives not to rush into any deal with Iran and his administration played down hopes of an imminent breakthrough.
Just a day earlier, Trump said Washington and Iran had “largely negotiated” a memorandum of understanding on a deal that would reopen the waterway, which carried one-fifth of global oil and liquefied natural gas shipments before the war.
Chris Weston, head of research at Pepperstone, said markets have become less focused on the timing of a resolution and instead been keeping an eye on the tone of the headlines.
“The tone has been consistently towards some sort of resolution… We’ve become very patient for a resolution deadline,” he said.
The pan-European STOXX 600 was up 0.7% at 629.24, while Nasdaq futures were 1.4% higher and S&P futures were up 1%. Liquidity is likely to be thin, as several markets, including Britain and the United States, are closed on Monday.
Stocks did not seem to wobble, despite comments from Iran’s foreign ministry spokesperson on Monday saying that while many topics had been agreed, this did not mean Tehran is close to signing a peace deal.
OIL PRICE SETS THE TONE FOR MARKETS
For much of the year, oil prices have steered broader markets, as investors sift often conflicting signals from Washington and Tehran, with both sides locked in talks since a fragile ceasefire took hold in April.
On Monday, oil prices hit two-week lows, with Brent crude futures down $4.81, or about 5%, to $98.73 a barrel, while U.S. West Texas Intermediate was at $91.79 a barrel, also down nearly 5%. [O/R]
Analysts expect oil prices to stay elevated even if there is a resolution in the near term, and they are unlikely to return to levels before the war as it will take time to remedy supply chain disruption from the conflict.
Last week, Barclays maintained its 2026 average Brent crude oil price forecast at $100, though it said risks are skewing higher.
The euro was up 0.3% at $1.1634, while the Japanese yen firmed to 158.96 per U.S. dollar as the safe-haven dollar gave up some of its recent gains. [FRX/]
In Asia, Japan’s Nikkei jumped roughly 3% to roar past the 65,000 level for the first time and Taiwan stocks to 43,644, both closing at record highs.
Global stocks have mostly shrugged off war worries to focus instead on all things AI and a strong earnings season, which has pushed equities to record highs through the year.
RATE EXPECTATIONS RESET
The increase in energy prices since the conflict began and the risk that prolonged disruptions will keep them high has prompted traders to bet on rate hikes across both developed and emerging markets.
Markets are now fully pricing in a 25-basis-point hike from the U.S. Federal Reserve in January 2027, a sharp shift from expectations before hostilities erupted in late February, when two rate cuts this year were anticipated.
The 30-year Treasury bond’s yield, which is seen as a barometer of geopolitical and fiscal risk, briefly touched its highest level since July 2007 last week, but has pulled back from that milestone. There was no cash trading on Monday, but 30-year futures were up a full point.
Data on Friday showed U.S. consumer sentiment fell to a record low in May as surging gasoline prices linked to the Iran war intensified affordability concerns just as Kevin Warsh was sworn in as chair of the Fed.
“For the Federal Reserve, this creates a difficult balancing act,” said Bruno Schneller, managing partner at Erlen Capital Management.
On one hand, consumers feel the pinch of higher financing costs, lower income growth and softer hiring, but on the other, inflation remains high, Schneller said.
Reporting by Nell Mackenzie in London and Ankur Banerjee in Singapore; Additional reporting by Ruth Chai in Singapore; Editing by Stephen Coates, Shri Navaratnam, John Mair, Amanda Cooper and Clarence Fernandez
Meanwhile many global markets – including in the U.S., Hong Kong, the UK and the majority of Europe – are closed for holidays on Monday, thinning liquidity
International News via Reuters:
The dollar fell against major currencies on Monday as hopes of a deal to reopen the Strait of Hormuz pushed oil prices below $100 per barrel, even as the U.S. and Iran played down the chances of reaching an agreement soon.
Meanwhile many global markets – including in the U.S., Hong Kong, the UK and the majority of Europe – are closed for holidays on Monday, thinning liquidity.
Against the yen, the U.S. dollar was down 0.2% at 158.94 yen, while the euro rose 0.31% to $1.11639 and the British pound gained 0.42% to $1.34865.
The Australian dollar advanced 0.5% at $0.7162, while its kiwi counterpart tacked on 0.37% to $0.58685.
The U.S. dollar index fell about 0.2% to 99.059.
As diplomatic efforts to find a resolution to the Iran war continue, U.S. Secretary of State Marco Rubio said there would either be a good agreement or Washington would deal with the country in “another way.”
Iran’s foreign ministry spokesperson said conclusions had been reached on many topics discussed in a potential memorandum of understanding with the U.S., but this did not mean Tehran was close to signing an agreement.
Oil markets tumbled on hopes of a peace deal, with Brent crude prices down 4.5% to $98.9 a barrel while U.S. West Texas Intermediate was at $88.98 a barrel, off 4.4%.
Over the weekend, there were conflicting signs on a peace deal. U.S. President Donald Trump said on social media on Saturday that a memorandum of understanding on a peace deal with Iran had been “largely negotiated,” with both countries and mediators in Pakistan reporting progress.
However, on Sunday Trump said on Truth Social the U.S. blockade on Iranian ships in the Strait of Hormuz would “remain in full force and effect until an agreement is reached, certified, and signed”.
“Markets have become conditioned to be incredibly patient on a tangible breakthrough, but the base case of a deal remains firm, with the weekend news providing further conviction, even if the timing remains unclear,” said Chris Weston, head of research at Pepperstone Group Ltd in Melbourne.
He added that if Brent drops towards $90 this would give risk assets renewed life as short-term inflation expectations fall and implied rate hike bets for 2027 are pared back.
European Central Bank policymaker Yiannis Stournaras said on Monday that if euro zone inflation overshoots the ECB target temporarily but significantly, there should be a cautious adjustment of monetary policy in a more restrictive direction.
Traders are looking ahead to some key data due this week including a U.S. ADP employment report on Tuesday and euro zone confidence surveys on Thursday.
Elsewhere, bitcoin was up 0.9% at $77,307.01, while ether rose 1% to $2,111.44.
Reporting by Gregor Stuart Hunter in Singapore and Lucy Raitano in LondonEditing by Shri Navaratnam, John Mair, Aidan Lewis
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