Asian forex reserves slump due to US-Iran war oilUS-Iran war oil price spike
Foreign exchange reserves in Asia have declined sharply as countries like the Philippines and India spend funds to support their currencies amid soaring oil prices from the US-Iran war.
India and the Philippines recorded the highest percentage losses since the conflict drove crude above $100 per barrel. The turmoil highlights the vulnerability of emerging Asian economies to global energy shocks.
- Strait of Hormuz handles 20% of global oil trade, explaining war-driven price surges.
- India's 2025 rupee intervention cost its central bank over $20 billion in reserves.
- Philippines' 1973 oil crisis response birthed its sovereign wealth fund.
US-Iran Ceasefire War
The United States launched military strikes against Iran on June 26, 2026, in response to a drone attack on a commercial cargo ship in the Strait of Hormuz, calling it a "foolish violation" of the 60-day ceasefire agreement signed just days earlier[2][4][14].
26 June, 09:35 PM
US launches strikes against Iran following commercial ship attack26 June, 04:47 PM
Trump calls Iran drone attack on cargo ship a ceasefire violation
