Ata mārie and welcome to your Friday morning global business and political news summary.
First up, US President Donald Trump ordered the US Navy to “shoot and kill” any Iranian boat laying mines in the Strait of Hormuz, a move that could jeopardise the fragile ceasefire, Al Jazeera reported.
“There is to be no hesitation,” Trump wrote. “Additionally, our mine ‘sweepers’ are clearing the Strait right now. I am hereby ordering that activity to continue, but at a tripled-up level!”
Iranian officials repeatedly promised to defend the country and respond to any US attack.
Meanwhile, Israel was awaiting the green light from the US to resume attacks on Iran and "return Iran to the dark age and the stone age by destroying key energy and electricity facilities", defence minister Israel Katz said, the ABC and AFP reported.
"The IDF is ready both defensively and offensively, and the targets have been marked," Katz said.
Senior Iranian officials blamed Washington for stalled peace negotiations due to the naval blockade of the country’s ports. Iran’s Revolutionary Guard said it captured two foreign vessels in the Strait of Hormuz and opened fire on a third ship for violating maritime regulations, Al Jazeera said.
To the markets, where oil prices jumped more than 3% after Israeli broadcaster N12 reported that Iran’s top negotiator with the US had resigned. Earlier, Brent crude oil rose 3% to about US$105 per barrel, CNBC said.
Oil tanker traffic through the Strait of Hormuz remained low. Trump claimed that the US had “total control” over the vital waterway.
The war and the Strait of Hormuz blockade were starting to impact a "sluggish" Chinese economy reliant on exports, according to BBC China correspondent Laura Bicker. She said China's oil reserves and its expansion towards renewables and electric cars had insulated it from the worst effects of the fuel crisis, but pressure was building on factory orders, costs and jobs.
Elsewhere, the European Union approved a massive loan package to help Ukraine meet its economic and military needs for two years, CNN and the AP reported.
The EU also approved a new raft of sanctions against Russia over its war with Ukraine. The measures were prepared early this year and were set to be announced in February to mark the fourth anniversary of the conflict, but Hungary and Slovakia opposed the move. Both countries have been locked in a feud with Ukraine since Russian oil deliveries to the two EU countries were halted in January after a pipeline was damaged.
In business news, Warner Bros Discovery shareholders approved the company's US$111 billion takeover by rival Paramount. The deal would see Skydance owner Paramount take control of all of WBD’s titles and channels, which include Harry Potter, Game of Thrones and news broadcaster CNN, the BBC said.
"With Paramount, we look forward to creating an exceptional combined company that will expand consumer choice and benefit the global creative talent community," WBD chair Samuel DiPiazza said.
The deal still needs approval from the US Department of Justice and European competition regulators.
Elsewhere, tech giants Meta and Microsoft have announced plans for mass layoffs to help offset heavy spending on artificial intelligence initiatives.
Meta, the social media company, told staff in a memo today it planned to cut headcount by 10%, equivalent to about 8000 roles, from May 20. A further 6000 open roles would also not be filled.
That followed Microsoft earlier in the day telling staff it would offer voluntary buyouts to 7% of its staff, affecting thousands of staff. More details about the plan were expected to be released on May 7.
“Our hope is that this programme gives those eligible the choice to take that next step on their own terms, with generous company support,” chief people officer Amy Coleman wrote in a memo.
Fortune reported the cuts came as big tech companies look for ways to trim their expenses as they pour billions into data centres and other AI infrastructure.
Over the Ditch, the Finance Sector Union said yesterday that the Commonwealth Bank could slash 119 jobs from its Aussie workforce, the ABC reported.
A CBA spokesperson said it employed about 49,000 people across Australia and there was always ongoing movement through hiring and internal changes.
"Some roles are shifting, new roles are being created, and some roles are reducing as programmes finish, work is simplified, and the mix of roles and skills across the bank evolves,” the spokesperson said.
