Oil Prices Jump After US Strikes Iran | The China Show | 7/8/2026

9:00 A.M. IN SHANGHAI, SHENZHEN AND HERE IN HONG KONG. YOU'RE WATCHING THE CHINA SHOW. I’M HAIDI STROUD-WATTS IN SYDNEY AND I’M AVRIL HONG IN SINGAPORE COUNTING DOWN TO THE OPEN TO BARK AT THEM

GREATER CHINA. OUR TOP STORIES, OIL PRICES EXTENDING GAINS BUT ASIAN STOCKS REVERSING SOME LOSSES AFTER THE STRIKE WITH IRAN. CHINA'S DEEPSEEK REPORTEDLY PLANNING TO DEVELOP IN-HOUSE AI CHIPS AND A POTENTIAL BOOST TO LOCAL FIRMS TRYING TO ERODE NVIDIA'S

DOMINANCE. STEPHEN: I'M STEPHEN ENGLE AT THE HONG KONG STOCK EXCHANGE WERE HONG KONG FINANCIAL SECRETARY SPEAKING RIGHT NOW BEHIND ME AND THE FUNDRAISING FRENZY SHOWS NO SIGN OF SLOWING HERE IN HONG KONG.

WE WILL SPEAK WITH THE HEAD OF ONE OF FIVE COMPANIES MAKING THEIR TRADING DEBUTS HERE TODAY. WE WILL DISCUSS HOW THEY PLAN TO USE THE 750 MILLION U.S. DOLLARS RAISED IN THIS HONG KONG ISSUANCE.

HAIDI: THIS PEACE AGREEMENT ARE THIS TENTATIVE PEACE AGREEMENT REMAINS IMPERILED WITH THE U.S. RESUMING AIRSTRIKES AND WE HAD THAT REVOCATION OF THE WAIVER THAT ALLOWED IRAN TO SELL OIL GLOBALLY. ALL THIS MOSTLY PLAYING OUT WHEN IT COMES TO THE

ENERGY MARKET, IT'S RUNNING ABOUT EVEN JUST HOURS AGO WHEN WE WERE TALKING ABOUT THE POTENTIAL OF THE SUPPLY GLUT SITUATION WITH THE PRICE CUTS WE HAVE SEEN FROM SAUDI ARABIA, WITH THE LACK OF DEMAND WE ARE SEEING FROM CHINA AS WELL.

NOW WE'VE GOT REALLY THAT RENEWED UNCERTAINTY OVER THE ENERGY PRICE INFLATION OUTLOOK. WE ARE SEEING SOME OF THE REACTION WHEN IT COMES TO MARKETS, A LOT OF CAUTION WHEN IT COMES TO ASIAN MARKETS, MOSTLY RETRADING.

WE'VE SEEN SOME VOLATILITY WHEN IT COMES TO JAPAN AS WELL, BUT OF COURSE ALL OF THIS SPEEDING THROUGH TO WHAT POTENTIALLY MEANS FOR THIS BROADER CHIP RALLY. MOSTLY WE HAVE SEEN INVESTORS MORE OR LESS HAPPY TO SHRUG OFF THE GEOPOLITICAL RISKS IN ORDER TO KEEP PUSHING

THAT STORY HIGHER AVRIL:. WHEN IT COMES TO CHIPS, THINK ABOUT HOW DEEPSEEK MIGHT BE LOOKING TO DEVELOP THEIR OWN AI CHIPS AT A TIME WHEN ACCORDING TO REPORTS CHINA MIGHT ALSO BE LOOKING TO RESTRICT OVERSEAS ACCESS FOR ITS AI MODELS.

BUT TO YOUR POINT ABOUT WHAT WE ARE SEEING IN THE GEOPOLITICAL BACKDROP, LET'S TAKE A LOOK AT HOW OIL PRICES ARE FARING WITH THESE FRESH STRIKES. THE GEOPOLITICAL RISK PREMIUM THAT WAS PRETTY MUCH ERASED IS COMING BACK.

WE ARE SEEING BRENT CRUDE TOWARD THE 76 HANDLE THAT STRIKING OUT U.S. YIELDS ALONG WITH THAT. TAKE A LOOK AS WELL AS HOW THINGS ARE PLAYING OUT IN STOCKS BECAUSE DON'T FORGET IT WAS A REALLY

BAD DAY OF SELLING. THE SAMSUNG SELLOFF AS THEY ARE CALLING IT, THIS IS SOMETHING THAT SPREAD TO THE U.S., BUT YOU LOOK AT HOW FUTURES ARE FARING AND THAT UPTICK EVEN IN THE KOSPI, TODAY WE ARE SEEING SK HYNIX AMONG THE STOCKS

THAT ARE LEADING THE GAINS AND THIS IS AGAINST THE BACKDROP OF REPORTING THAT MAYBE THE U.S. LISTING IS OVERSUBSCRIBED. INVESTORS IN THE MARKET MAY BE BEING ABLE TO ABSORB THIS MASSIVE ADR.

TAKE A LOOK AS WELL AS WHAT WE ARE SEEING IN THE DOLLAR, GIVEN WHAT WE'VE SEEN IN OIL PRICES AND THE INFLATIONARY RISK, THE DOLLAR HAS BEEN RALLYING, THE YEN HAS BEEN MOVING FURTHER AWAY FROM THE 162 HANDLE, KEEPING WATCH ON THE KIWI DOLLAR AS WELL.

THE RBNZ DECISION IS COMING UP IN THE NEXT HOUR AND THE MAJORITY OF ECONOMISTS SEEM A HIGH TO 2.5%, ALTHOUGH A HANDFUL THANK -- THERE ARE EXPECTATIONS OUT OF THE RBNZ THAT COULD MEAN THE KIWI DOLLAR IS VULNERABLE. TAKE A LOOK AS WELL AS WHAT WE ARE SEEING

IN THE SENATE FOR CHINA TODAY AT A TIME WHEN THE DOLLAR IS REBOUNDING. YOU'RE LOOKING AT DOLLAR CHINA, TO WHAT EXTENT CAN THE YUAN CONTINUE RATTLING -- RALLYING THIS YEAR? WE'VE BEEN TALKING ABOUT THESE DEVELOP ITS OUT OF CHINA