Economy

Middle East Crisis  Strait of Hormuz
Hormuz chaos worries the market: “No lasting peace in sight”

Tensions around the Strait of Hormuz and new fighting in Lebanon dampen faith in a quick US-Iran deal ahead of next week. The risk of disrupted oil supplies points to higher energy prices and shakier stock markets, according to Bloomberg.

“A deal may be close, but will likely be limited and fragile,” writes the news agency’s analyst.

Increased volatility is expected after Friday’s drop in oil prices. Energy could rise again, while stock markets risk being pressured if the conflict worsens. Without a brightening towards the end of next month, Brent could rise towards $120 per barrel, Citi’s energy strategist Eric Lee tells DI.

– If the conflict looks set to continue after May, then we are clearly at those levels.

Middle East Crisis  Economic Impact
War Pressures Luxury Giants: “Demand is Much Lower”

The luxury sector has been negatively affected by the war in the Middle East, reports the New York Times.

According to LVMH, the world’s largest luxury group, demand for some goods fell by up to 70 percent when the war escalated in March.

“What we see today is still that demand is much lower. What we know is that the wealth has not evaporated,” CFO Cécile Cabanis told investors.

Political situation in Norway
Strike in Norwegian hotels and restaurants

Almost 2,000 employees in the hotel and restaurant industry in Norway are going on strike after negotiations broke down. More than 100 businesses in Oslo and Bergen are affected, including Ikea’s restaurants. The conflict concerns both wages and sick pay.

– It was not possible to reach an agreement, the parties were too far apart, says Magne Kristensen at the employers' organization NHO Reiselivs.

The strike begins on Sunday and can be expanded by another 1,000 people later this week.

Spotify's future
Spotify wins billion-dollar dispute – but sentences are secret

The pirate site Anna's Archive is to pay 322 million dollars, equivalent to 2.9 billion kronor, for scraping "almost all the world's commercial sound recordings" from Spotify. This is reported by international media.

A court in New York found Anna's Archive guilty of copyright infringement, breach of contract and violation of the US copyright law DMCA.

It is unclear whether the damages will be paid, since the underlying actors are anonymous and have not participated in the process.