Middle East war: global economic fallout

Here are the latest economic events in the Middle East war:

- Crude back up -

Crude prices were flat to higher on Friday, while stocks slid lower.

Around 1430 GMT Brent crude was flat at $108.70 a barrel while West Texas Intermediate rose 0.4 percent to $95.95.

- Kuwait refinery ablaze -

Firefighters battled a blaze at a giant oil refinery in Kuwait after a fresh drone attack, as Iran kept up a wave of strikes on its neighbours and vowed there was "no concern" about its missile production.

Despite calls for an end to targeting Gulf energy infrastructure by European leaders on Thursday, Kuwait reported a fire at its Mina Al-Ahmadi refinery, a day after a direct hit on Qatar's vital Ras Laffan facility.

Iranian authorities had vowed to retaliate after an Israeli strike on Wednesday damaged its South Pars gas field, which draws on the world's biggest known gas reserve and is vital for domestic supplies.

- Vietnam fuel prices soar -

The cost of petrol rose more than 20 percent in Vietnam after the government announced an overnight hike amid fears of oil and gas shortages caused by the war.

Southeast Asian countries have borne the brunt of surging diesel prices following strikes against energy infrastructure in Iran and the Gulf states.

The increase has seen the price of regular octane 95 and diesel rise more than 50 and 70 percent respectively since the conflict began in late February.

- Spain chops fuel taxes, freezes rents -

Spanish Prime Minister Pedro Sanchez announced a five-billion-euro ($5.8-billion) package aimed at offsetting the economic impact of the Middle East conflict, including a "drastic reduction" in energy taxes.

The package's 80 measures will include cuts to the value-added tax on gas and fuel, which could lower prices at the pump by up to 30 cents per litre, he told a news conference after an emergency cabinet meeting.

Sanchez also said the government would cap the maximum price of butane and propane.

The government will also slash electricity taxes by 60 percent, suspend a production tax and reduce the value-added tax on electricity to 10 percent from 21 percent.

- Serbia cuts fuel taxes further -

Serbia is further reducing fuel taxes, the country's president announced Friday, in a bid to contain prices at the pump in the country as the cost of crude oil soars due to the Middle East war.

A decision was made to cut excise taxes by an additional 40 percent, following a previous 20 percent reduction just a week ago, and the new rate will be in effect in the coming weeks.

- Government borrowing costs climb -

The yield on government bonds in the secondary market climbed futher "as investors continue to revise the monetary policy trajectory" said analysts at Natixis.

The yield on 10-year UK government bonds reached around 4.93 percent around 10:50 GMT, a level not seen since the global financial crisis in 2008.

The yield on French and German government bonds were also higher, as were yields on US government bonds.

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