EU to Stockpile Critical Minerals Over War Risk

FILE PHOTO: A banner depicting an European Union flag is reflected in a window outside the EU Council headquarters in Brussels, Belgium March 18, 2025. REUTERS/Yves Herman//File Photo
FILE PHOTO: A banner depicting an European Union flag is reflected in a window outside the EU Council headquarters in Brussels, Belgium March 18, 2025. REUTERS/Yves Herman//File Photo
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EU to Stockpile Critical Minerals Over War Risk

FILE PHOTO: A banner depicting an European Union flag is reflected in a window outside the EU Council headquarters in Brussels, Belgium March 18, 2025. REUTERS/Yves Herman//File Photo
FILE PHOTO: A banner depicting an European Union flag is reflected in a window outside the EU Council headquarters in Brussels, Belgium March 18, 2025. REUTERS/Yves Herman//File Photo

Brussels says it will build up emergency stockpiles of critical minerals and cable repair kits as concerns mount over the EU’s vulnerability to attack.

“The EU faces an increasingly complex and deteriorating risk landscape marked by rising geopolitical tensions, including conflict, the mounting impacts of climate change, environmental degradation, and hybrid and cyber threats,’’ the European Commission said in a draft document setting out a stockpiling strategy, seen by the Financial Times.

Member states should co-ordinate backup supplies of food, medicines and even nuclear fuel, the EU executive said. It would also accelerate work on EU-level stockpiles of items such as cable repair modules “to ensure prompt recovery from energy or optical cable disruptions” and commodities such as rare earths and permanent magnets, which are crucial for energy and defense systems.

Several instances of potential sabotage to underwater communication cables and gas pipelines in recent years have caused concern about the vulnerability of critical infrastructure.

The strategy is part of a wider push by the EU to improve the security and resilience of the 27-country bloc. Last month, General Carsten Breuer, the German chief of defense, warned that Russia could attack an EU member state within the next four years.

The higher-risk environment was driven by ‘‘increased activity from hacktivists, cybercriminals and state-sponsored groups,” the document said.

The EU is also more susceptible than many other regions to the effects of climate change as it is warming twice as fast as the global average. Wildfires in Crete forced 5,000 people to evacuate the island this week.

In a report commissioned by the EU in October, former Finnish president Sauli Niinistö said that security should be considered a “public good” and called for a preparedness mindset.

On stockpiling, he said that Brussels should “define targets to ensure minimum levels of preparedness in different crisis scenarios, including in the event of an armed aggression or the large-scale disruption of global supply chains.”

The EU in March also advised households to stockpile essential supplies to survive at least 72 hours of crisis.

On Tuesday, the United States announced the launch of a critical minerals initiative with Australia, India and Japan as part of efforts to counter China.

In a joint statement after talks in Washington, the countries' foreign ministers said they were launching the Quad Critical Minerals Initiative, which they called an "ambitious expansion of our partnership to strengthen economic security and collective resilience by collaborating to secure and diversify critical minerals supply chains."



Oil Prices Rise despite US-Iran Ceasefire Extension

FILE PHOTO: FILE PHOTO: A view shows oil pump jacks outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: FILE PHOTO: A view shows oil pump jacks outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
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Oil Prices Rise despite US-Iran Ceasefire Extension

FILE PHOTO: FILE PHOTO: A view shows oil pump jacks outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: FILE PHOTO: A view shows oil pump jacks outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. REUTERS/Alexander Manzyuk/File Photo

Oil prices edged higher Wednesday while Europe's main stock markets eased on uncertainty surrounding the prospect of resumed Mideast peace talks following an extension to the US-Iran ceasefire.

Asian equities had a mixed trading day as investors wait for clarity but broadly expect that both US President Donald Trump and the authorities in Iran want to end a war that has sent oil and gas prices soaring.

"The ceasefire extension hasn't done much to calm nerves given that worries remain about the impact of the energy squeeze on the global economy," said Susannah Streeter, chief investment strategist at Wealth Club, AFP reported. 

"Shipments from the Middle East are in limbo and a resolution to the conflict remains elusive, and the price of Brent crude, the benchmark, reflects this."

Brent North Sea was once more closing in on $100 a barrel while main US contract, West Texas Intermediate, traded back above $90.

Iranian gunboats attacked at least one container ship in the Strait of Hormuz on Wednesday, maritime agencies said, despite US President Donald Trump announcing he was extending a ceasefire to allow more time for peace talks.

Trump said the US blockade of Iran's ports would continue while Pakistani mediators try to revive dialogue.

Tehran has all but shut the strait in the seven weeks since the United States and Israel launched attacks on Iran that plunged the Middle East into war, with higher energy prices threatening economic growth worldwide.

"The US and Iran may be trying to shore up leverage and playing a game of who blinks first," said Christopher Wong, a strategist at Oversea-Chinese Banking Corp.

"Whatever the outcome, the suspense in the interim may see risk appetite being curtailed," he said.

Away from the war, investors were keeping tabs on the confirmation hearing by senators of Kevin Warsh, Trump's pick to replace Federal Reserve boss Jerome Powell, whose term ends in May.

Warsh told lawmakers he would not be controlled by the president as he fielded questions on his assets and central bank independence during his first hearing.

Trump has assailed Powell for not cutting interest rates more aggressively, and told CNBC on Tuesday that he would be disappointed if the new chair did not swiftly lower borrowing costs despite rising inflation.

In Britain, official data showed that annual inflation jumped to 3.3 percent in March as the Middle East war sent oil and gas prices surging.

 

 

 


PIF Anchors State Street’s Newly Launched Saudi Equity ETF

Officials from PIF and State Street IM (Saudi PIF)
Officials from PIF and State Street IM (Saudi PIF)
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PIF Anchors State Street’s Newly Launched Saudi Equity ETF

Officials from PIF and State Street IM (Saudi PIF)
Officials from PIF and State Street IM (Saudi PIF)

The Saudi Public Investment Fund (PIF) and State Street Investment Management (State Street IM), one of the world’s largest asset managers, launched on Thursday the State Street Saudi Arabia Enhanced Active Equity (SAQL) with PIF as anchor investor.

The fund actively invests in equities of companies in Saudi Arabia using a quantitative multi-factor stock selection model, PIF said in a statement.

SAQL has its primary listing on the Xetra exchange in Germany and is cross listed on the LSE in the United Kingdom, where a bell ringing ceremony was held. The fund will be available to investors in both markets as well as investors across other key markets in Europe, the statement said.

The investment marks another step in PIF’s strategy to further deepen and diversify the Saudi capital market by attracting international capital flows, empowering financial institutions, broadening financing options for the private sector and introducing new products.

The newly launched fund is the second State Street IM ETF in which PIF has made an anchor investment, and the fifth ETF investment for PIF across nine global markets with leading international asset managers. New and innovative Saudi-focused products were listed in Hong Kong, London, Shanghai, Shenzhen, Tokyo, Frankfurt, Italy and Singapore.

“PIF is further strengthening Saudi Arabia’s capital market ecosystem, working with our partners to open gateways for international investors, enable access and drive global capital inflow into the country,” said Deputy Governor and Head of MENA Investments at PIF Yazeed Al-Humied.

“Our continued partnership with State Street IM reinforces a shared commitment to enhance and diversify the product range, to present new opportunities for international investors into the Saudi market and unlock capital pools,” he said.

“The launch of this ETF further deepens the Saudi market and builds on a series of PIF-anchored ETF listings across international markets, cementing PIF’s role in driving increased product diversification to enhance liquidity and fulfill market needs,” Al-Humied added.

Chief Executive Officer of State Street Investment Management Yie-Hsin Hung praised Saudi Arabia’s "success story," adding: “At State Street, as with PIF, innovation is in our DNA and we’re pleased to offer a new product in this same vein, drawing on our decades of experience and commitment to quality to underpin an exciting new offering, anchored by PIF.”

Quantitative funds, such as SAQL, use mathematical modeling, algorithmic, and data-driven methods to manage portfolios. The Saudi capital market has evolved beyond legacy sectors, with maturation of market structure and data quality – enabling SAQL to use a systematic active approach when investing in Saudi equity securities.

SAQL provides an opportunity for international investors to obtain investment exposure to this rapidly evolving economy.

The fund is registered for sale in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Norway, Spain, Sweden and the UK.


Morocco’s Inflation Rises to 0.9% in March

 People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)
People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)
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Morocco’s Inflation Rises to 0.9% in March

 People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)
People stand looking across the river at the skyline in the coastal city of Rabat on April 20, 2026. (AFP)

Morocco's annual inflation, measured by the consumer price index, rose to 0.9% in March from -0.6% a month earlier, the statistics agency said on Wednesday.

Food prices, ‌the main ‌driver of ‌inflation, ⁠rose 0.6% from a year ⁠earlier, while non-food inflation increased 1.1%.

Core inflation, which excludes more volatile goods, rose 0.6% year-on-year ⁠and 0.1% month-on-month.

The ‌rise ‌in fuel prices following ‌the Iran conflict ‌led the Moroccan government to reintroduce subsidies for professional transporters, including taxis, buses ‌and trucks, to keep prices stable.

Fuel subsidies, ⁠along ⁠with aid to keep electricity and cooking gas prices stable, would cost the government 1.6 billion dirhams ($170 million) monthly, the minister in charge of the budget, Fouzi Lekjaa, said.