Lebanon Escalation: Israel seized Lebanon’s Beaufort castle and vowed to push deeper against Hezbollah, as airstrikes killed civilians and the UN Security Council is set to meet over the widening offensive. US-Iran Tensions: The US carried out precision strikes on Iranian radar and drone-control sites after Iran shot down a US MQ-1 Predator, while Iran and the IRGC vowed retaliation amid stalled ceasefire talks. Energy Shock: The IMF, World Bank and IEA warned that if Strait of Hormuz shipping doesn’t normalize, global inventories could be rapidly depleted ahead of peak summer demand, raising fuel and fertilizer risks. Regional Power Strain: Iraq may face a summer electricity crunch as damage to Iran’s South Pars gas output cuts supplies; Kuwait approved 1.5GW battery storage sites to ease peak demand. Markets & Costs: Oil jumped over 3% on renewed Gulf attacks, while UK house prices fell as Middle East-driven energy and mortgage pressures hit confidence. Projects & Business: Saudi Arabia’s Umm Al Qura-led consortium won $1.6bn contracts for new Makkah sites, and Rixos Baghdad passed 60% completion despite regional tensions. Tourism Pressure: War-linked jet fuel costs and uncertainty are hurting Southeast Asia’s summer travel outlook, with Cambodia’s Angkor visitors down sharply.