Good morning and welcome to FirstFT. In today’s newsletter:
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Donald Trump threatens to hit Iran ‘extremely hard’
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Business winners and losers from Middle East conflict
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Gulf states consider new pipelines to avoid Hormuz
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Nigella Lawson writes her first column for the FT
We start with Donald Trump’s speech last night, his first primetime address since the outbreak of the Iran war.
What he said: Trump vowed to hit Iran “extremely hard” over the coming weeks, dashing investors’ hopes of an imminent end to the conflict.
The US president insisted Washington would achieve its goals “very shortly”, but signalled further escalation rather than a quick peace deal.
Market reaction: Oil prices climbed and stocks fell after Trump reiterated that the war could escalate. Follow our live blog.
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Arms for Ukraine: Trump threatened to stop supplying weapons for Kyiv in order to pressure European allies to join a coalition to reopen the Strait of Hormuz, according to people briefed on the discussions.
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Defence systems: The UK has “extremely limited capability” to protect itself against ballistic missile threats, a former Royal Air Force official has warned.
Here’s what else we’re keeping tabs on today:
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Macron’s Asia trip: The French president travels to South Korea for a two-day state visit.
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US: It is one year since “liberation day”, when Trump announced sweeping tariffs. The administration is also due to unveil new levies on pharma products.
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UK: Foreign secretary Yvette Cooper hosts ministers from 35 countries for talks aimed at forming a coalition to unblock the Strait of Hormuz.
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Five more top stories
1. Exclusive: The world’s biggest energy traders struggled to capitalise on the market turbulence in the early days of the Iran war, as they grappled with fuel tankers set ablaze, missile attacks at oil terminals and vessels stuck in the Gulf.
2. The threat of open-ended Iranian control over the Strait of Hormuz is pushing Gulf countries to revisit costly plans for pipelines to bypass the choke point so they can continue to export oil and gas. Here are the options being considered.
3. Italian politicians and fans are calling for resignations at the country’s football federation, after the four-time world champions failed to reach the men’s World Cup in their third consecutive attempt.
4. French anti-terrorism prosecutors said a thwarted bombing at the Paris office of Bank of America last week appeared “likely to be attributable” to a pro-Iranian group that has called for attacks on Europe’s Jewish community.
5. Exclusive: Thames Water is poised to reach a deal with the sector regulator that will allow the struggling utility to avoid any new fines over the next four years in exchange for a commitment to invest cash into the business. Read the details.
The Big Read
Japanese craft and Chinese hard graft have played huge roles in the extraordinary growth of Apple, which turns 50 this week. That success would have lasting consequences for both countries. Read how the Asian manufacturing giants fuelled the US tech company’s rise.
We’re also reading and listening to . . .
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The Economics Show 🎧: Soumaya Keynes talks to Mark Harrison of the University of Warwick on what past conflicts can teach us about the Iran war today.
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Palantir boycott: A growing number of NHS staff are refusing to work on the US tech company’s health data platform over ethical concerns.
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UK social media use: People are posting less often and becoming more cautious over how they approach online content, a media watchdog has said.
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Indra exit: The chair of Spain’s aspiring defence champion has quit after clashing with the government over a planned tie-up that was aborted following conflict of interest concerns.
Chart of the day
Rocketing fuel prices and looming shortages due to the Iran war have forced governments to take drastic measures to conserve supplies. The result, warn economists, will be curbed growth and strained public finances. Read our visual story.
Take a break from the news . . .
Nigella Lawson returns to the FT, her alma mater newspaper. In her first column, she explains why food writing matters and what cooking gives back to us.
