Morning Juice – Europe Session Prep

Good Morning Traders.
It is Wednesday the 8th of July. Here is what to look out for today.

Sentiment
Oil advanced as the US launched a wave of strikes against Iran in retaliation for a spate of attacks on ships in the Strait of Hormuz. Tens of millions of barrels of Iranian oil already on tankers have been left in limbo after the US walked back a waiver allowing the Islamic Republic to sell the crude. New Zealand’s central bank raised its key interest rate for the first time in three years, signaling it wants to move to less stimulatory monetary settings in order to counter inflationary pressures. Australia and the wider world are likely to see more supply shocks such as the energy crisis sparked by the Iran war, a senior Reserve Bank official said, reinforcing the need to aim for low and stable inflation. Japan’s government tweaked a reference to monetary policy in the latest draft of its annual policy agenda, in a move likely aimed at reducing concerns that it’s putting pressure on the BOJ to go slow on interest rate hikes. Options traders are increasing bets that the broader market is overestimating how much the Federal Reserve will raise interest rates this year.