United Arab Emirates official Lana Nusseibeh criticized Iran's restrictions on the Strait of Hormuz and its use of ballistic missiles and drones during an interview with Fox News.

Today’s situation is the opposite. Instead of a collapse in demand, the world is experiencing a large supply shock. But the impact on everyday life could end up looking similar: reduced travel, higher transport costs, slower economic activity and pressure on household budgets.

The forecast is a sharp step up from the prior projection of 2.8%. Moreover, it is much higher than the 2.7% Fed officials estimated.

Events in the Middle East have materially changed the near-term economic and financial outlook. Monetary policy expectations in futures markets have shifted markedly. Read more here.

Energy expert Dr Anas Alhajji warns that if the ongoing war does not end soon, the global economy could collapse by early May due to the Strait of Hormuz blockage.

By Leigh Thomas PARIS, March 26 (Reuters) - The escalating conflict in the Middle East has knocked the global economy off a stronger growth path, the OECD warned on Thursday, as a near-halt in energy shipments through the Strait of Hormuz threatens to push inflation sharply higher.

The world economy’s first signs of a synchronized shock emerged in business surveys revealing how the Iran war’s fallout is crippling growth momentum and stoking prices.