Connect with us
DAPA Banner
DAPA Coin
DAPA
COIN PAYMENT ASSET
PRIVACY · BLOCKDAG · HOMOMORPHIC ENCRYPTION · RUST
ElGamal Encrypted MINE DAPA
🚫 GENESIS SOLD OUT
DAPAPAY COMING

Business

UPS, FedEx and logistics giants are investing in the healthcare boom

Published

on

UPS, FedEx and logistics giants are investing in the healthcare boom

A FedEx worker walks past his truck in the North Beach neighborhood on June 23, 2026 in San Francisco, California.

Heather Diehl | Getty Images

As demand rises for specialized medications like GLP-1s, logistics companies including UPS and FedEx are adapting their strategies to be able to better ship and store those pharmaceuticals.

Advertisement

Most injectable GLP-1 medications, including Novo Nordisk‘s Ozempic and Wegovy and Eli Lilly‘s Mounjaro and Zepbound, require refrigerated storage for shipment.

The Covid pandemic put healthcare logistics at center stage in 2020, as the shipping of temperature-controlled vaccines quickly became a crucial part of keeping the virus at bay. And as more money has been poured into new pharmaceutical innovations, the transportation of those products have come under the spotlight.

Logistics companies are now investing millions of dollars and strengthening dozens of temperature-controlled facilities to tap into the market.

In June, UPS announced a new $48 million investment in temperature-controlled facilities as it sees a growing demand for critical treatments. According to Growth Market Reports, the demand for temperature-sensitive biologics is projected to grow at an 8.3% compound annual growth rate through 2033 and reach a market value of roughly $39.1 billion.

Advertisement

Obesity and diabetes drugs, meanwhile, have been booming in popularity. A July Gallup poll found that 11% of Americans take GLP-1 medications for weight loss purposes in 2026, up from just 3% in 2024.

But if they’re not stored and shipped at the correct temperature, they risk losing their efficacy.

The Food and Drug Administration has warned that improper storage during shipping can affect the medicine’s quality and recommends patients do not use GLP-1 drugs that arrive “warm or with insufficient refrigeration.”

Other biologics, like some vaccines, insulin and antibiotics, also require specialized shipment to maintain efficacy. For logistics companies, that means ensuring the proper storage and movement every step of the way.

Advertisement

Bulking up

Healthcare logistics have proven to be one of UPS’ biggest opportunities. On an earnings call with analysts in April, CEO Carol Tomé said the company’s global healthcare portfolio has gained market share every year since 2021, generating its first ever $3 billion healthcare revenue quarter in the first quarter of this year.

UPS President of Healthcare John Bolla told CNBC that the company is seeing more healthcare companies looking for partners to keep up with the volume.

“One of the biggest opportunities we see is supporting the shift toward more specialized therapies and more care delivered outside of traditional healthcare settings,” Bolla said.

United Parcel Service trucks are parked at a UPS customer center in Los Angeles on April 1, 2024.

Advertisement

Mario Tama | Getty Images

He said UPS is experiencing “rapid growth” in biologics, cell and gene therapies, though the biggest challenge is that the margin for error is small — even a brief stray from the correct temperature can ruin the medicines, Bolla said.

“But that’s also what’s creating such a significant opportunity in healthcare logistics,” he said. “As treatments become more specialized and supply chains become more complex, healthcare companies need partners that can provide not just temperature-controlled storage or transportation, but end-to-end visibility, control and reliability across the entire network.”

FedEx is also tapping into the trend, launching a life sciences organization earlier this month specifically to support the movement of pharmaceuticals and other healthcare products.

Advertisement

On an earnings call in June, FedEx’s Chief Customer Officer Brie Carere told analysts that healthcare transportation revenue in fiscal year 2026 reached nearly $10 billion.

“We’re building end-to-end solutions focused on global pharma customers, and what’s so important with global pharma is that you have to recognize that there’s a patient at the end of every delivery or someone that’s waiting to be treated,” said Nick Gennari, FedEx’s president of healthcare. “So we take this very, very seriously.”

With GLP-1s specifically, Gennari said there’s an increasing complexity to delivering those medications, with forms ranging from injectables to oral pills and going direct-to-consumer. But with that complexity comes a growth opportunity for FedEx, which he said is “ideally positioned.”

Gennari said FedEx has specialized technology, including its machine learning engine that allows customers to see product movement with predictive abilities, as well as its technology that identifies healthcare products and treats each differently depending on its unique needs.

Advertisement

Gennari also said he’s “very comfortable” with the company’s base capabilities and its plans for expansion, including cold-chain logistics.

“Much of the infrastructure that’s required to be successful in this space, we already have. We have the airline; we have an incredible schedule; we have the lift capabilities. The network is hardened and works very well,” he said.

Complex supply chains

C.H. Robinson told CNBC the logistics company had surpassed $1 billion in revenue in healthcare logistics alone over the past year, largely due to the growth in GLP-1 drugs, as it has been investing in temperature-controlled facilities.

“You need to really have that end-to-end connectivity, so you’ve got to have a really nice network and infrastructure built out in order to properly service the healthcare customers,” said Ronnie Davis, the company’s vice president of North American surface transportation.

Advertisement

Davis said the supply chain for medications has also become more complicated. In addition to requiring refrigeration, many drugs have a short shelf life and need to be delivered in precise windows of time.

“A lot of the innovation has been on getting the drugs to the market,” Davis said. “I think what you’re starting to see is that’s really putting stress on the capabilities of the cold chain supply chains in the marketplace. … With the rise of GLP-1s and other specialized medicine, it’s really creating a competitive nature for the same refrigerated supply resources that are there and, quite candidly, that supply is not unlimited, it’s constrained.”

Davis said C.H. Robinson is working to amp up its capabilities, especially to keep up with the higher volume. At the same time, he added, pharma companies are also trying to get creative to bring their products to market with a longer shelf life.

That innovation is also intersecting with the growth of artificial intelligence capabilities, according to Hendrik Venter, CEO of DHL Supply Chain. The logistics company uses AI to monitor critical life science products, tracking temperatures and anticipating where an issue might happen.

Advertisement

“You’re seeing the industry moving from conventional to biopharma,” Venter told CNBC. “You need to have a supply chain that is resilient and capable of shipping in all of these various temperature zones.”

The company announced last year that it plans to invest 2 billion euros ($2.25 billion) in health logistics by 2030, with half of that allocated to the Americas.

A lot of pharmaceutical companies are also outsourcing their warehousing activities to DHL, Venter said. The company takes over those facilities, manages them and integrates them into the rest of their network.

DHL launched a pharmaceutical air corridor around the world, with a dedicated aircraft and connected network that ensures the drugs are not being shipped through separate regulatory environments.

Advertisement

“You cannot lose a shipment. You cannot replace it. It needs to be delivered on time, every time, in the right quality and temperatures,” Venter said. “So we continue to selectively look at how to strengthen that network.”

Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Maine Democrats nominate Troy Jackson to replace Platner in US Senate race

Published

on


Maine Democrats nominate Troy Jackson to replace Platner in US Senate race

Continue Reading

Business

LSEG’s Lipper reviews transaction affecting fixed-income fund flow data

Published

on


LSEG’s Lipper reviews transaction affecting fixed-income fund flow data

Continue Reading

Business

Lionel Messi’s Wife Defends Argentina on Social Media Amid Fierce Backlash After World Cup Final Loss

Published

on

Cristiano Ronaldo Portugal

Lionel Messi’s wife, Antonela Roccuzzo, publicly defended Argentina’s national team this week amid a wave of criticism following the country’s 1-0 loss to Spain in the 2026 World Cup final, as commentators, fellow players and Argentina’s own president weighed in on the fallout from a contentious final.

Roccuzzo reposted a message from writer and media figure Connie Ansaldi on Instagram, marking one of the more direct public responses from within Messi’s inner circle to the criticism that followed the final. “Proud to be Argentine. Argentina is exactly like a family; we may disagree and quarrel amongst ourselves, but if someone from outside comes and insults us, we will tear out their liver,” the reposted message read.

Where the criticism came from

Sunday’s final, decided by a Ferran Torres goal in extra time, drew sharp criticism both for Argentina’s on-field performance and for the team’s conduct following the match, including an on-pitch altercation involving several players. Former England defender Gary Neville was among the most pointed critics of Argentina’s performance, saying on his show “The Overlap,” “They played like a bag of s***. Sometimes, if it looks like s*** and it smells like s***, it is s***. What we watched was a performance that was really poor.”

Advertisement

British commentator Piers Morgan separately branded Argentina’s conduct following the final a “disgrace,” describing their actions as “disgusting,” while German World Cup winner Toni Kroos offered a more measured take, saying simply that “football won” following the result.

Argentina’s president weighs in

The criticism extended beyond football commentary into national politics, with Argentine President Javier Milei taking to social media to defend the country following the loss. “The problem with Argentina is that we stand out. We don’t go unnoticed, people are jealous of us, and we’re good at almost everything. I’m sorry, but someone had to say it,” Milei wrote on Instagram.

A tribute to her husband

Advertisement

Beyond her defense of the broader national team, Roccuzzo also shared an emotional personal tribute to Messi directly following the loss, posting images of the visibly emotional forward on the field after the final whistle. “You will always be the best, @leomessi. Not just because of your talent, but because you have never stopped being yourself,” she wrote. “Because no matter what happens, you never give up; you always fight to the very end and give your all until the final second. That strength, that mindset, and the way you pick yourself up time and time again are what make you unique.”

Roccuzzo continued the message with a broader reflection on what her husband represents beyond the sport itself. “Thank you for showing us every day that true success is built through hard work, sacrifice, and perseverance, without ever losing sight of who you really are. You are the best example for our children and an inspiration to millions of people. I admire you more than words can express, and I feel immensely proud to walk through life by your side. I love you so much.”

A pattern of public support throughout the tournament

Roccuzzo’s tribute following the final continued a pattern of public messages of support she offered throughout Argentina’s World Cup run. Following the team’s dramatic Round of 16 comeback victory over Egypt, a match marked by its own VAR controversy, Roccuzzo posted photos of herself and the couple’s three sons at the stadium, writing “Let’s go Argentina” in Spanish, followed by a brief message directed at Messi: “@leomessi no more words left.” Earlier in the tournament, after Messi scored his 18th career World Cup goal, Roccuzzo wrote, “What a privilege to see you make history again and again.”

Advertisement

Messi’s own reaction to the loss

Messi has largely kept his own public comments about the final brief, expressing deep disappointment over the result while also extending congratulations to Spain. He has not publicly commented on the surrounding criticism of the team’s conduct or offered any indication about whether the 2026 tournament marked his final World Cup appearance, a question that has continued to generate speculation given his age and the physical toll of a lengthy international career spanning six World Cup tournaments.

A well-established partnership

Messi and Roccuzzo, who have known each other since childhood in their hometown of Rosario, Argentina, married in 2017 and share three sons: Thiago, Mateo and Ciro. Roccuzzo has remained a consistent, visible presence throughout Messi’s international career, frequently attending matches with their children and posting messages of support across his major tournament appearances, including Argentina’s 2022 World Cup title run in Qatar.

Advertisement

A broader wave of reaction

Sunday’s final and its aftermath generated a broad range of reactions beyond Roccuzzo’s response, spanning football commentary, political statements and continued debate over specific refereeing and conduct issues during the match itself. That range of reaction reflects both the significance of the result, Argentina’s bid to become back-to-back champions falling just short, and the intensity of scrutiny that has followed the Argentine team throughout the tournament, dating back to earlier controversies during the group and knockout stages.

With the tournament now concluded and questions still swirling about Messi’s international future, attention is likely to remain focused on whether he chooses to continue playing for Argentina heading into future competitions, or whether Sunday’s final marked the close of his World Cup career. In the meantime, Roccuzzo’s public defense of both her husband and the broader national team reflects a family that has consistently presented a united front throughout Messi’s decorated, if occasionally contentious, run on international football’s biggest stage.

Advertisement
Continue Reading

Business

Intel Stock: Q2 AI Has Revived CPU Franchise, Foundry Not Earned Valuation (NASDAQ:INTC)

Published

on

Intel Stock: Q2 AI Has Revived CPU Franchise, Foundry Not Earned Valuation (NASDAQ:INTC)

This article was written by

The author is a director at a small Boston-based software company where he oversees India operations across HR, finance, and business development. His broader professional background spans entrepreneurship, operations, and management across multiple industries. Earlier in his career, he was involved in building out a bottled beverages plant, reflecting a longstanding interest in business building, execution, and commercial strategy. He also holds a PhD in history and teaches part-time at a local college, bringing a research-driven and analytical perspective to both his professional and investing workHe has been investing in U.S. equities for nearly two decades, having started well before international access to U.S. markets became commonplace for Indian investors. Over time, he has developed a style that sits between value and growth. He is most interested in businesses where long-term earnings potential, competitive positioning, or strategic optionality are not yet fully reflected in the stock price. His work is grounded in valuation, but he also looks closely at business quality, management execution, industry structure, and the durability of growth.His primary sector focus is software, IT, and AI, including the growing application of AI across industries such as healthcare. He is especially interested in companies with scalable models, improving economics, and the ability to compound earnings over time. At the same time, his interests are not limited to technology. He also follows real estate-related opportunities, including REITs, and remains open to writing on other sectors where the investment case is compelling.On Seeking Alpha, he aims to write thoughtful, research-based articles that combine business analysis with valuation discipline. His goal is not simply to identify attractive stories but to assess whether the market is mispricing risk, growth, or long-term earnings power. He writes to share well-reasoned ideas with serious investors, refine his own thinking through public analysis, and contribute to a more disciplined discussion around investing. The author is associated with another Seeking Alpha analyst – Dr. Manimala M.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Advertisement
Continue Reading

Business

Only Four Countries Now Host Trillion-Dollar Companies in 2026 as AI Boom Reshapes Global Wealth Map

Published

on

Artificial Intelligence / AI

A small and increasingly exclusive club of nations is now home to the world’s most valuable public companies, as a historic run in artificial intelligence spending pushes corporate valuations to levels once considered unthinkable.

As of late July 2026, roughly a dozen publicly traded companies carry market capitalizations above $1 trillion, and only four countries can claim to host them: the United States, Taiwan, South Korea and Saudi Arabia. The lineup reflects a global economy increasingly organized around semiconductors, cloud computing and the artificial intelligence infrastructure race, with chipmakers and technology platforms crowding out nearly every other industry from the top of the rankings.

The United States still dominates

America remains the undisputed center of the trillion-dollar economy. Nvidia, the AI chip designer, has emerged as the world’s single most valuable company, with a market capitalization exceeding $5 trillion. The Santa Clara, California-based firm’s graphics processing units have become the backbone of AI data centers worldwide, and its rise has been one of the fastest wealth creation stories in stock market history. Nvidia crossed the $1 trillion threshold in 2023 and the $4 trillion mark just two years later, in July 2025, before continuing its climb this year.

Advertisement

Apple and Alphabet, Google’s parent company, both sit above $4 trillion, while Microsoft and Amazon remain comfortably in the trillions as well. Rounding out the American contingent are Broadcom, Meta Platforms, Tesla, drugmaker Eli Lilly, memory-chip manufacturer Micron Technology, and Warren Buffett’s Berkshire Hathaway — the lone non-technology name on the list and the only company built primarily on insurance and diversified holdings rather than software or silicon.

That gives the United States roughly 11 companies above the trillion-dollar line, by far the largest concentration in the world. Analysts tracking global market capitalization say American firms account for the overwhelming majority of value among the world’s top 50 and top 100 public companies, a dominance built on decades of tech-sector leadership that has only accelerated since the generative AI boom began in 2023.

Taiwan’s chip giant joins the ranks

Taiwan Semiconductor Manufacturing Company, commonly known as TSMC, has become Asia’s first trillion-dollar company and remains the most valuable business based outside the United States, with a market capitalization above $2 trillion. TSMC manufactures advanced chips for Nvidia, Apple and nearly every other major technology company, making it one of the most systemically important firms in the global electronics supply chain. Its dominance in cutting-edge chip fabrication has made Taiwan a focal point of both the AI investment boom and broader geopolitical tension over semiconductor supply chains.

Advertisement

South Korea enters the club — twice

South Korea has become the newest entrant to the trillion-dollar tier, and it arrived with two companies rather than one. Samsung Electronics crossed the $1 trillion threshold for the first time this year, becoming just the second Asian company to do so after TSMC. The milestone came amid a sharp rally in chip stocks tied to surging demand for high-bandwidth memory used in AI servers, with Samsung shares jumping more than 15% in a single session in May after the company reported an eightfold increase in quarterly operating profit.

SK Hynix, Samsung’s domestic rival in memory chips, also joined the trillion-dollar tier this year. The combined value of the two South Korean chipmakers has, at times, surpassed the combined market capitalization of China’s two largest internet companies, Alibaba and Tencent, according to data reported by Bloomberg in February — a shift that underscored how the AI-driven memory chip boom has reordered valuations across Asian technology markets. The rally has also helped push South Korea’s benchmark Kospi index above 7,000 points for the first time.

Saudi Arabia’s oil giant remains the outlier

Advertisement

Saudi Aramco, the state-controlled oil producer, continues to hold its position as the world’s most valuable non-U.S., non-technology company, with a market capitalization near $1.7 trillion. Aramco went public on the Saudi Exchange in December 2019 in what remains the largest initial public offering in history, and it remains the only trillion-dollar company built primarily around fossil fuel production rather than software, chips or consumer technology. The Saudi government owns roughly 90% of the company, with the country’s sovereign wealth fund holding a significant additional stake.

A narrower club than before

The current four-country lineup is notably narrower than it was just a few years ago, when Chinese internet giants such as Alibaba and Tencent regularly featured among the world’s most valuable companies. Their retreat from the trillion-dollar tier reflects a broader shift in investor enthusiasm away from Chinese consumer internet platforms and toward the chipmakers and cloud infrastructure providers powering the AI buildout in the U.S., Taiwan and South Korea.

Market analysts note that membership in the trillion-dollar club is fluid. Companies can drop below the threshold during downturns and climb back above it as investor sentiment shifts, meaning the list of countries represented could expand or contract in the months ahead. Walmart, for instance, has approached the trillion-dollar threshold from below in recent months, and further gains in retail or other sectors could eventually add a wider range of industries — and potentially additional countries — to the list.

Advertisement

For now, though, the story of the trillion-dollar economy remains a story about semiconductors and artificial intelligence. Nine of the roughly dozen companies above the threshold are directly tied to AI chips, cloud computing or the software platforms built on top of them. The exceptions — Berkshire Hathaway, Eli Lilly and Saudi Aramco — stand as reminders that insurance, pharmaceuticals and energy can still produce world-beating valuations, even in a market increasingly defined by silicon.

With earnings season underway across major exchanges, investors are watching closely for signs of whether the AI-fueled rally that has lifted Nvidia, TSMC, Samsung and their peers can be sustained, or whether the trillion-dollar club will see further reshuffling before the year is out.

Continue Reading

Business

US aimed to send envoys to Brazil to question its electoral system – sources

Published

on


US aimed to send envoys to Brazil to question its electoral system – sources

Continue Reading

Business

TPG Stock: 5%-Yielding Growth Stock In Plain Sight (NASDAQ:TPG)

Published

on

TPG Stock: 5%-Yielding Growth Stock In Plain Sight (NASDAQ:TPG)

This article was written by

I am Gen Alpha. I have more than 14 years of investment experience, and an MBA in Finance. I focus on stocks that are more defensive in nature, with a medium- to long-term horizon. I provide high-yield, dividend growth investment ideas in the investing group iREIT®+HOYA Capital. The group helps investors achieve dependable monthly income, portfolio diversification, and inflation hedging. It provides investment research on REITs, ETFs, closed-end funds, preferreds, and dividend champions across asset classes. It offers income-focused portfolios targeting dividend yields up to 10%. Learn more.

Analyst’s Disclosure: I/we have a beneficial long position in the shares of TPG either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I am not an investment advisor. This article is for informational purposes and does not constitute as financial advice. Readers are encouraged and expected to perform due diligence and draw their own conclusions prior to making any investment decisions.

Advertisement

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Continue Reading

Business

Bank of America: A Welcome Dividend Increase (NYSE:BAC)

Published

on

Bank of America: A Welcome Dividend Increase (NYSE:BAC)

This article was written by

The Investment Doctor is a financial writer, highlighting European small-caps with a 5-7 year investment horizon. He strongly believes a portfolio should consist of a mixture of dividend and growth stocks.
He is the leader of the investment group European Small Cap Ideas which offers exclusive access to actionable research on appealing Europe-focused investment opportunities not found elsewhere. The a focus is on high-quality ideas in the small-cap space, with emphasis on capital gains and dividend income for continuous cash flow. Features include: two model portfolios – the European Small Cap Ideas portfolio and the European REIT Portfolio, weekly updates, educational content to learn more about the European investing opportunities, and an active chat room to discuss the latest developments of the portfolio holdings. Learn more.

Analyst’s Disclosure: I/we have a beneficial long position in the shares of BAC either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I also have a long position in BAC.PR.B and BAC.PR.L

Advertisement

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Continue Reading

Business

Diesel prices spike amid Iran war, raising cost of groceries, new homes

Published

on

Diesel prices spike amid Iran war, raising cost of groceries, new homes

The fuel most Americans never think about could become the Iran conflict’s biggest economic consequence. While gasoline prices grab headlines, diesel quietly powers the trucks, farms, freight trains and heavy equipment that keep the U.S. economy moving.

From the groceries on supermarket shelves to the Amazon package on your doorstep and the materials used to build new homes, diesel is embedded in nearly every step of the supply chain. As prices rise, businesses face higher transportation costs that economists say often ripple through the economy, pushing up the cost of everyday goods.

Advertisement

Diesel prices, which averaged $3.56 a gallon in January 2025, have climbed to $5.13 following the Iran conflict, according to the U.S. Energy Information Administration.

A fully loaded semi-truck typically gets just 6 to 7 miles per gallon of diesel, according to Department of Energy data. Filling its roughly 250-gallon tanks can cost more than $1,280 at today’s prices.

BBQ LOVERS BEWARE: MIDDLE EAST CONFLICT MIGHT DISRUPT YOUR SUMMER PLANS THIS YEAR

“We all focus on gasoline because, ultimately, we’re consumers and pump prices are very visible. But what we don’t think about is the price of diesel, which is the workhorse fuel for the U.S. economy and especially for key sectors,” Bernard Yaros, lead U.S. economist for Oxford Economics, told Fox News Digital.

Advertisement

“From an inflationary perspective, I’m very concerned about the recent rise in diesel prices as it pertains to the cost of food or grocery store prices,” Yaros said.

“Take the food industry, for instance. Diesel powers the irrigation pumps, the tractors in the field and the trucks that bring food from the farm to your local grocery store. It’s part of every layer of food production in the U.S.”

‘KEEP A LOW PROFILE’: STATE DEPARTMENT WARNS AMERICANS OVERSEAS THEY COULD BE TARGETED

A person is seen grabbing the nozzle for diesel fuel at a gas station.

A person is seen grabbing the nozzle for diesel fuel at a gas station. (Rebecca Noble/Bloomberg/Getty Images / Getty Images)

An energy industry source, who requested anonymity because they were not authorized to speak publicly, said the recent diesel surge shows how geopolitical conflicts can quickly filter into the broader economy.

Advertisement

“The great majority of the price movement that you’ve seen in diesel markets over the last five months has been the direct result of the conflict in Iran and specifically the closure of the Strait of Hormuz,” the source told Fox News Digital.

The Strait of Hormuz, a narrow waterway between Iran, Oman and the United Arab Emirates, is one of the world’s most important energy chokepoints. Roughly 20 million barrels of oil pass through it each day, and disruptions can quickly tighten fuel supplies and drive diesel prices higher.

WHY THE STRAIT OF HORMUZ MATTERS AS TRUMP ISSUES FRESH ULTIMATUM TO IRAN

map of strait of hormuz

A satellite image shows the Strait of Hormuz, a key maritime passage connecting the Persian Gulf to the Gulf of Oman, vital for global energy supply. (Amanda Macias/Fox News Digital / Getty Images)

Even if tensions in the Middle East ease, diesel prices may not quickly return to pre-conflict levels.

Advertisement

“Refineries don’t process crude instantaneously,” the source said. “A lot of times what you’re filling up your car with today was refined a week and a half ago and was produced two months before that.”

That lag means higher diesel costs can continue working their way through the economy even after crude oil prices stabilize, leaving consumers to pay more for groceries, deliveries and other everyday goods long after the headlines from the Middle East begin to fade.

Continue Reading

Business

Rotate to China: BCA tips 3-month reversion trade away from South Korea stocks

Published

on


Rotate to China: BCA tips 3-month reversion trade away from South Korea stocks

Continue Reading

Trending

Copyright © 2025