The International Monetary Fund has warned the Middle East is moving toward recession, with the Iran conflict driving an economic slump across the region and sending energy costs up. Corporate outlooks have deteriorated in response to the spike in oil prices.

The IMF also revised Romania's outlook downward, projecting a 0.5% contraction in 2026 with inflation running at 8.2%. In Australia, the downturn is reflected in the property market, where auction clearance rates have now fallen below 50% for two weeks running and house prices are falling across the country.