Financial Wire

US Equity Futures Decline as Trump Orders US Blockade of Strait of Hormuz After Talks With Iran Fail

-- US equity futures were lower pre-bell on Monday after President Donald Trump ordered a blockade of the Strait of Hormuz after US-Iran talks in Islamabad failed to reach an agreement.

Dow Jones Industrial Average futures were 0.6% lower, S&P 500 futures were down 0.6%, and Nasdaq futures were 0.6% lower.

"Effective immediately, the United States Navy, the Finest in the World, will begin the process of BLOCKADING any and all Ships trying to enter, or leave, the Strait of Hormuz," Trump said in a post on Truth Social on Sunday. Trump had said that an agreement was not reached due to Iran's unwillingness to give up its nuclear ambitions.

Oil prices were higher, with front-month global benchmark North Sea Brent crude up 7.1% at $101.95 per barrel and US West Texas Intermediate crude 7.7% higher at $103.99 per barrel.

Existing Home Sales, scheduled for release at 10 am ET, are seen declining 0.8% for March after an increase of 1.7% reading in the prior month, according to estimates compiled by Bloomberg.

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Karoon Energy Says Fitch Affirms 'B' Rating, Revises Outlook to Negative; Shares Down 4%

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Viva Energy Group Reports Over 5% Increase in Q1 Sales Volume; Shares Down 6%

Viva Energy Group (ASX:VEA) reported a 5.1% year-over-year increase in first-quarter sales volume to 4,302 megaliters, driven by an increase of 7.1% in commercial and industrial fuel volume, according to a Monday filing with the Australian bourse.The company said its Geelong refinery does not typically source Middle Eastern crude. The refinery's current crude supply flows mainly from North America, South America, South-East Asia, and Australia have not been impacted by the Iran conflict, and the plant has firm crude supply through to July "with high confidence that this supply can continue."The Geelong refinery operated at full production during the first quarter, but will be operating at a reduced capacity over the short term due to a fire that broke out on April 15. Roughly a third of Viva Energy's transport fuel sales are typically sourced from the Geelong refinery, per the filing.Meanwhile, regional refining margins are expected to remain higher through the second quarter due to the impact from the Middle East conflict. Commercial and infrastructure sales and margins are also expected to remain robust through the second quarter, with aviation demand expected to be impacted by the conflict, Viva Energy said.The company's shares have resumed trading following a halt after the fire incident, and were down nearly 6% in recent Monday trade.

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