World Bulletin / News Desk
Iran dismissed a European Union oil embargo which took effect on Sunday and said it was fully prepared to counter the impact of sanctions with a $150 billion war chest of foreign reserves.
The EU ban on crude imports is part of a push by Western countries aimed at choking Iran's export earnings to try to force it to curb a nuclear programme.
"All possible options have been planned in government to counter sanctions and we are fully prepared to deal with them," Oil Minister Rostam Qasemi said in comments on the ministry's website.
Qasemi said Iranian oil was still being sold on international markets and that oil importers would be the big losers if a blockade leads to price rises.
The United States also has sanctions in place, although it has spared all 20 of Iran's major oil buyers from measures against them for dealing in Iranian crude for now.
The European Union banned new contracts for imports of Iranian crude in January, but allowed existing ones to continue until July 1. The embargo also covers transporting Iranian crude or insuring shippers who are carrying it.
Iranians lost jobs
There are signs the embargo is already having an impact on Iran's economy.
Its crude oil exports - which according to EU estimates represent some 80 percent of the government's export revenues and half of its income - have fallen by 40 percent this year. Iran used to export a fifth of its crude to EU countries.
The Iranian rial has fallen sharply and inflation is running at 20 percent. Tens of thousands of Iranians have lost their jobs and trade between Iran and Europe has halved in a year, according to Eurostat data from March.
The governor of Iran's central bank said it had built up $150 billion in foreign reserves to protect itself.
"We are implementing programmes to counter sanctions and we will confront these malicious policies," Mehr news agency quoted Mahmoud Bahmani as saying.
In three rounds of negotiations, Western powers have demanded Tehran halt its high-grade uranium enrichment activities, ship all high-grade uranium out of the country and close down a key enrichment facility.
Iran says its nuclear programme has only peaceful aims, but Western countries and nuclear-armed Israel fear Iran is developing nuclear weapons.
European stock markets are also set for a weak start, with Italy underperforming as investors brace for turbulence and political crisis in the euro zone's heavily indebted third-largest economy.
The euro tumbled on Monday after Italian Prime Minister Matteo Renzi said he would resign as he conceded defeat in a referendum over his plan to reform the constitution
Rouhani's 2017-2018 budget is based on oil prices of $50 per barrel, up from $40 last year, with a focus on unemployment, water resources, railways and the environment.
Turkish parliament has already ratified the deal on construction of ‘TurkStream’ natural gas pipeline
The September rate was revised to 9.9 percent from the 10 percent first given last month.
Many analysts had expected the producers' cartel to fail to reach a deal as major players like Iran, Iraq and Saudi Arabia remained divided ahead of the meeting.
The report, which collects views of economists, business contacts and others in the 12 Federal Reserve districts in preparation for the monetary policy meeting next month, noted improved retail sales and home construction in most regions.
If the cartel does not reach a deal to cut output, prices could fall below $40 a barrel
European air travel giant Lufthansa has been battling its own pilots over pay and conditions for more than two years.
Failure to get an accord on Wednesday could send oil prices tumbling and deal a further blow to the credibility of the 56-year-old Organization of the Petroleum Exporting Countries.
Around midday, shares in Italian lenders Unicredit and Banco Popolare were down 4 percent compared with Friday's closing levels.
Officials on Friday's said the tie-up between the Hong Kong and Shenzhen markets will start on December 5.
The announcement comes as the country is gearing up for a key election next year, with the parties in Chancellor Angela Merkel's grand right-left coalition keen to woo ageing voters.
The weak inflation data -- core prices excluding fresh food fell 0.4 percent from a year ago -- come several weeks after Japan's central bank pushed back the timeline for hitting its 2.0 percent inflation target.
Roberto Azevedo says he is 'ready to talk' to US President-elect who has promised to pull US out of other trade agreements