China’s energy strategy vindicated by Iran conflict: FT

China’s energy strategy has gained validation amid the ongoing conflict in Iran, according to a report by the Financial Times. This strategy, which emphasizes energy self-sufficiency and reduced reliance on external crude imports, may serve as a model for other countries facing similar geopolitical tensions. China’s net crude imports fell significantly in the second quarter of 2026, with June imports reaching the lowest level since October 2016. This strategic shift, alongside a decrease in Brent crude prices, appears to have insulated China from external supply shocks. Markets appear to interpret China’s energy strategy as a potential driver of increased geopolitical tensions, which could influence global financial markets, including safe-haven assets like gold. The pricing for gold futures suggests that participants are considering the potential for heightened geopolitical risks to push gold prices higher. Current market data shows varying degrees of confidence in gold reaching higher price targets by the end of August. Key Takeaways The report suggests that China’s energy strategy, validated by the Iran conflict, may influence other nations, possibly impacting geopolitical stabi...