Fed Governor Powell warned a politicized Fed would destroy public trust and said the Fed and other institutions are facing a "stress test".

Kuwait's foreign ministry said it condemns Iran's attack on Kuwaiti territory.

ECB executive board member Schnabel said on Monday that with price pressures spreading beyond energy and the risk of unanchored inf expectations rising, the central bank can no longer ignore the inf impact of the Iran conflict. Damage to energy infrastructure and global supply chains has altered price dynamics more persistently, she said, implying policymakers may need to respond even if the conflict ends quickly. Schnabel added it is too early to say how many rate hikes will be required; policymakers will continue to assess incoming data and developments in the Middle East. She said the current shock differs from past energy crises because it is increasingly behaving like a global demand shock while lifting production costs worldwide.