Qantas raises fares as Middle East war hits fuel prices

Qantas raises fares, RBA frets about inflation, Iran women's soccer team

Read in browser

Good morning, Paul from the Melbourne bureau with you today. The conflict in the Middle East continued to dominate headlines overnight, as the widening fuel crunch forced Asian governments to impose restrictions. Meanwhile, Qantas is said it's raising fares on international routes as fuel prices jump and demand surges for long-haul flights to Europe. President Donald Trump's assertion the Iran war may end "very soon" suggests the US wants an exit strategy and eases the risk of some of the extreme scenarios earlier envisaged, according to Australia's Mercer Super. — Paul-Alain Hunt, metals and mining reporter. What's happening now Qantas said it's raising fares on international routes as fuel prices jump and demand surges for long-haul flights to Europe. Fares will typically rise about 5%, said a person familiar with the matter, who asked not to be identified because the figure hasn't been made public. Australia's central bank Deputy Governor Andrew Hauser said further inflationary pressure from the war in Iran would be unhelpful as policymakers assess the impact on the economy one week out from their interest-rate meeting. Financial markets now see a 60% chance of a rate hike at the RBA's March 16–17 meeting, up from roughly one-in-three odds before Hauser's comments. At least two more members of the Iranian female soccer team have sought asylum in Australia, while the rest departed Sydney for Kuala Lumpur on Tuesday. One of the two additional players seeking refuge refused to board a flight at the Sydney airport at the last minute. Mongolia's government demanded early profit payments and a bigger share of revenue from the massive Oyu Tolgoi copper mine it co-owns with Rio Tinto Group, according to a statement. The interest rate cuts so confidently forecast for large parts of Asia — and elsewhere —  just months ago appear to be a diminishing prospect. That may be the least of the problems that policymakers confront, writes Daniel Moss for Bloomberg Opinion. Going a step further and hiking borrowing costs is now the tough part, something that should have been off the table. What happened overnight Volatility whipsawed stocks as traders parsed conflicting signals about the outlook for oil supplies as the war in Iran rattles energy markets. In late hours, Oracle Corp. jumped on a strong sales forecast. The S&P 500 wiped out its advance. US crude trimmed a plunge that briefly drove it below $80. Global chocolate maker Lindt & Spruengli AG shares fell by the most in six years after the chocolate maker lowered its full-year sales guidance, citing geopolitical turmoil. The company is facing high cocoa prices and weak demand. A window display at a Lindt & Spruengli AG store in New York, US, on Monday, Aug. 4, 2025. Photographer: Michael Nagle/Bloomberg Asian LNG buyers are struggling to find prompt cargoes after a war-related outage at the world's largest export facility in Qatar tightened global supplies of the super-chilled fuel. EV manufacturer BYD Co. is examining options to enter competitive motorsport including Formula One and endurance racing, in an effort to boost the Chinese brand's appeal globally, according to people familiar with the matter. What to watch • Nothing major scheduled One more thing... Bloomberg's Editorial Board asks: How does the war with Iran end? More than a week after the US and Israel launched punishing airstrikes against Iran, neither side appears ready to pause hostilities. The Islamic Republic will surely pay the bigger price for its intransigence. But that doesn't mean the US can ignore the long-term costs of fighting without a realistic endgame in mind. US President Donald Trump walks on the South Lawn of the White House after arriving on Marine One in Washington, DC, US, on Monday, March 9, 2026. Trump said he would waive oil-related sanctions, have the US Navy escort tankers through the Strait of Hormuz and predicted on Monday that the war with Iran would resolve "very soon" as he confronted mounting economic and political pressure and days of dramatic fluctuations in oil markets. Photographer: Samuel Corum/Sipa/Bloomberg NEW: Explore live streaming news and interviews, documentaries, reporter analysis and more, all in one place. Check out Bloomberg.com/videos. Enjoying Australia Briefing? You might also like: Markets Daily for what's moving in stocks, bonds, FX and commodities Next China for dispatches from within the world's second-largest economy on where China stands now — and where it's going next Markets Daily India for key news and movers in this fast-growing market before the trading day starts Get weekly updates on these industries with our new Retail Monitor, Auto Monitor, Defense Monitor, Real Estate Monitor, Banking Monitor newsletters Explore all Bloomberg newsletters at Bloomberg.com. We're improving your newsletter experience and we'd love your feedback. If something looks off, help us fine-tune your experience by reporting it here. Follow us You received this message because you are subscribed to Bloomberg's Australia Briefing newsletter. If a friend forwarded you this message, sign up here to get it in your inbox. Unsubscribe Bloomberg.com Contact Us Bloomberg L.P. 731 Lexington Avenue New York, NY 10022 |