Oil prices climb after Trump dismisses Iran’s response to peace plan
Oil prices have climbed after Donald Trump condemned Iran’s response to US proposals to end the war as “totally unacceptable”,The president’s rejection of Tehran’s overture in a post on his Truth Social platform triggered a jump in Brent crude, the international benchmark for oil prices, by as much as 4% on Monday to $105,50 a barrel, before easing back to settle at $103,50,The US had presented a peace proposal a week ago, said to consist of a 14-point memorandum of understanding that would reopen the strait of Hormuz, while setting a framework for further talks on Iran’s nuclear programme.
The Iranian counter-proposal reportedly suggested a shorter moratorium and included a refusal to accept the dismantling of its facilities.Trump posted on Sunday evening: “I have just read the response from Iran’s so-called ‘representatives’.I don’t like it – totally unacceptable.”The increase in tensions has added to fears that the oil prices could remain elevated for longer, as the strait of Hormuz – through which a fifth of the world’s oil and gas supply normally passes – remains effectively closed.“While there’s some expectation that a major reignition of the war is less likely, given the US claims a ceasefire is still in place, severe supply constraints of commodities are set to continue,” said Susannah Streeter, chief investment strategist at the broker Wealth Club.
“With the crisis now into the 11th week, consumers, companies and countries are having to adapt to a world of constrained supplies.”In the UK, the cost of government borrowing also rose amid fears for higher inflation – which can make it harder for central banks to cut interest rates – as well as uncertainty over Keir Starmer’s leadership after the local election results.The yield on 30-year gilts rose by as much as 7 basis points on Monday morning to 5.64%, while the yield on the 10-year rose 5 basis points to 4.96%.
In European stock markets, the blue-chip FTSE 100 index opened slightly higher by 0.2%, with oil companies BP and Shell among the top risers.The French CAC 40, however, slipped by 0.5% and the German Dax dropped 0.9%.
Stock markets in Asia were more mixed, with Japan’s Nikkei dropping 0.4% and Hong Kong’s Hang Seng down 0.3%.The Shanghai Composite index rose by about 1% after official data on Monday showed that China’s factory gate prices rose 2.8% in April compared with the same point last year.
The South Korean Kospi index rose 4.3%, helped by a rise in the tech company Samsung Electronics.Trump is scheduled to meet China’s president Xi Jinping in Beijing this week, with the two leaders expected to discuss trade, Taiwan and China’s role in the conflict in the Middle East.It will mark the first time a US president has visited China in nearly a decade – the last visit was also by Trump during his first term in 2017.
Seven people barred from coming to UK for far-right rally
Seven people hoping to attend a far-right rally in central London on Saturday have been blocked from entering the country by the home secretary, Shabana Mahmood.Keir Starmer, the prime minister, promised on Monday to block “far-right agitators” hoping to attend the Unite the Kingdom event on 16 May organised by Tommy Robinson, whose real name is Stephen Yaxley-Lennon.Joey Mannarino, a US-based commentator, and Valentina Gomez, a Maga influencer, had their authorisation to enter the UK withdrawn on the grounds that their presence “would not be conducive to the public good”. The identities of the other five banned people are not known.In a speech aimed at resetting his premiership, Starmer said he would ban extremists from coming to Britain to speak at the nationalist march on Saturday
Catherine West backs down from Starmer challenge but urges him to go by September
Catherine West, the Labour MP who announced a challenge to Keir Starmer’s leadership, has changed course to say she instead wants the prime minister to set a timetable of September for his departure.West, the MP for Hornsey and Friern Barnet and a former Foreign Office minister, announced on Saturday that she would seek to gather the 81 Labour MPs’ names needed to formally challenge Starmer, saying this was just a device to tempt others to stand and that she did not wish to take over.In a statement released after Starmer’s speech on Monday morning in which he said he would fight on despite terrible results for Labour in elections last week, West called for an orderly process for Starmer to depart. She said: “I have listened to the prime minister’s speech this morning. I welcome the renewed energy and ideas
What did Keir Starmer say in ‘last chance’ speech to save his premiership?
Keir Starmer’s speech and press conference on Monday morning was almost universally billed as his final chance to save his premiership. Was it enough? And what – if anything – did he actually offer?This is a line that could have appeared in any Starmer speech of the last 12 months, but this time a lot of Labour MPs would have wanted something new and substantial in policy terms to back it. And there was not.Yes, there was a lot of passion, and a lot of talk about fighting on. But the only policy offerings were either not new – a youth experience scheme as part of a reset with the EU – or already effectively the case, as with the announcement that British Steel will be nationalised
Starmer vows to prove doubters wrong as he tries to ward off leadership challenge
Keir Starmer has said he will prove his doubters wrong as he warned Labour was facing “very dangerous opponents” in a make-or-break speech, with leadership rivals on the brink of a challenge.Starmer said he would fight any leadership challenge and would not walk away from his responsibilities as prime minister.He promised he would seek a new deal with the EU including a sweeping youth mobility scheme, as well as nationalising British steel and promising a beefed-up youth guarantee of jobs and apprenticeships.But he warned his critics in the party they risked opening the door to Nigel Farage’s Reform UK party and said it was time to take a more robust approach to the right.“We are not just facing dangerous times, but dangerous opponents, very dangerous opponents,” he said, saying Labour was the last defence against the country heading down a “very dark path”
Starmer faces fight to survive as Streeting and Rayner eye leadership bids
Keir Starmer faces a fight for his political life in the next 24 hours as potential Labour leadership rivals, from Wes Streeting to Angela Rayner, begin positioning themselves for a contest.Starmer is hoping to save his job on Monday with a speech promising to “face up to the big challenges” for the country on growth, energy, defence and Europe.However, his prospects of staying in No 10 appeared to be fading on Sunday after about 40 Labour MPs called for him to set a date to step down, including many backers of the Greater Manchester mayor, Andy Burnham, who hope to pressure the prime minister into resigning.Leadership contenders were circling after a disastrous set of local election results in which the party lost support to Reform UK and the Greens. One ally of Streeting said: “Wes isn’t going to challenge Keir but he is preparing in case it all falls apart
Who are the main threats to Keir Starmer’s Labour leadership?
Keir Starmer has long been dogged by leadership rivals – despite only having won a huge majority two years ago. He insists there is no vacancy, and that he will fight on in No 10, seeking a second five-year term and a decade in the job. However, the various contenders to replace him have been organising for some time.Many others may consider throwing their hats into the ring if the contest opened up – from the home secretary, Shabana Mahmood, and the education secretary, Bridget Phillipson, to the foreign secretary, Yvette Cooper, and the armed forces minister, Al Carns. But here are Starmer’s main threats:Health secretaryThe health secretary is widely thought to be the most ready for a leadership contest, and the one who stands to gain from a competition right now – given Andy Burnham is not an MP and Angela Rayner still has an unresolved tax problem
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