Highlights for the morning: UAE to ask for help, US intercepts Iranian ship, oil surges
The UAE is discussing with the US financial support in case of a prolonged conflict with Iran, WSJ has learned / Photo: Wael Hneini / unsplash
The U.S. Navy fired on an Iranian ship in the Gulf of Oman and took control of it after an attempt to break the sea blockade. Against this background, oil rose sharply in price. The UAE began to discuss with Washington financial support in case the situation worsens due to the conflict with Iran. These and other topics - in our review of key events by the morning of April 20.
US intercepts Iranian vessel in the Gulf of Oman
US President Donald Trump said the US Navy stopped and inspected the Iranian cargo ship TOUSKA in the Gulf of Oman, Bloomberg reports. According to him, after the crew refused to obey warnings, a US destroyer "stopped the vessel, damaging the engine room."
The vessel is now under the control of the US Marine Corps. Trump noted that it had previously been sanctioned by the U.S. Treasury Department for "illegal activities."
Oil jumped amid escalation between US and Iran
Oil prices rose sharply due to the threat of escalation of conflict in the Middle East after attacks on commercial ships in the Strait of Hormuz, CNBC reports. WTI futures rose about 7% to $89.74 per barrel, while Brent rose nearly 5.8% to $95.59. At the time of publication, Brent with delivery in June costs $95.53; WTI - $89.
It comes after Donald Trump claimed the US Navy fired on an Iranian vessel in the Gulf of Oman and took control of it after it attempted to break a naval blockade. The incident followed Iran's attack on tankers that attempted to cross the Strait of Hormuz over the weekend, with Islamic Revolutionary Guard Corps (IRGC) gunboats opening fire and at least one supertanker coming under fire, Reuters wrote, citing sources. Trump responded by threatening to destroy Iran's infrastructure if Tehran did not agree to a deal, calling the attacks a violation of the truce.
UAE discusses financial support with U.S. as conflict with Iran escalates
The United Arab Emirates (UAE) has started talks with the United States on possible financial support in case the situation worsens due to the protracted conflict with Iran, The Wall Street Journal reports. The head of the country's central bank Khaled Mohamed Balama discussed with U.S. Treasury Secretary Scott Bessent and representatives of the Federal Reserve System the idea of a currency swap as a mechanism of emergency liquidity, the publication writes.
U.S. officials say the Emirates has so far managed to avoid serious economic consequences, but are considering a financial "safety cushion" in case the crisis escalates further.
AI startup Cursor could raise $2 billion at a valuation of over $50 billion
Startup Cursor is in talks to raise about $2 billion at a valuation of more than $50 billion, excluding investments, a CNBC source has learned. The round is expected to be co-led by Andreessen Horowitz, and Nvidia and Thrive Capital - all of whom have already invested in the company - may also participate.
The deal reflects high investor interest in startups creating AI programming agents. Cursor, one of the pioneers in this field, previously raised $2.3 billion at a valuation of $29.3 billion and continues to develop the product - in particular, adding features for testing code and recording developers' actions, the channel points out. The company's investors include Accel, DST Global, Coatue and Google.
Eli Lilly is preparing to buy Kelonia Therapeutics for more than $2 billion
US pharma company Eli Lilly is in talks to buy biotech startup Kelonia Therapeutics for more than $2 billion, The Wall Street Journal has learned. The deal may be concluded in the near future and include additional payments depending on the achievement of key indicators.
Kelonia develops genetic drugs, including CAR-T therapies that modify a patient's immune cells to fight cancer. The potential acquisition will strengthen Lilly's oncology portfolio, which, in addition to weight loss drugs, is actively expanding in other therapeutic areas, including oncology and gene technologies.
What's in the markets
- Japan's broad Topix index rose 0.6 percent on April 20, while the Nikkei 225 rose 0.8 percent.
- Hong Kong's Hang Seng Index was up 0.8 percent, while mainland China's CSI 300 Index was up 0.5 percent.
- In South Korea, the Kospi index was up 1.1%, while the Kosdaq added 0.5%.
- Australia's S&P/ASX 200 was little changed.
- Futures on the S&P 500 were falling 0.6%, futures on the Nasdaq Composite are also down 0.6%. Exchange-traded contracts on the Dow Jones Industrial Average are losing 0.7%.
This article was AI-translated and verified by a human editor
