The Financial Times reported that the "Big Three"—General Motors, Ford, and Stellantis—revealed in their first-quarter results that rising raw material costs this year could add a burden of up to $5 billion (approximately 7.38 trillion won).

This increase is attributed to escalating tensions around the Strait of Hormuz amid the fallout of the Middle East conflict, which has disrupted global shipping and supply chains, driving up the prices of key materials such as aluminum, plastics, and paints.

Jump in aluminum prices

Aluminum prices on the London Metal Exchange (LME) have surged by as much as 16% since the outbreak of the war. The report noted that if this rise persists, it could add between $500 and $1,500 to the manufacturing cost of every vehicle. Aluminum is a fundamental material in the automotive industry, used extensively in chassis, engines, and doors.

Direct impact on corporate profits

The effects of these pressures are already appearing in corporate earnings:

*   General Motors expects its operating profit to decrease by up to $2 billion this year due to inflated raw material costs. CEO Mary Barra stated, "Costs have risen due to the war, and it remains unclear how long this situation will last," adding that the company is attempting to absorb the shock by cutting other expenses.

*   Ford anticipates supply chain costs to increase by up to $2 billion.

*   Stellantis warned of a future burden of approximately 1 billion euros.

The total raw material cost shock to the sector is estimated at $5 billion, a level close to the losses resulting from high U.S. tariffs (approximately $6 billion).

Risks of a prolonged crisis

The primary concern is the potential for a long-term crisis. While fixed-price contracts with suppliers have helped absorb some of the short-term shock, a prolonged conflict would likely see raw material price increases reflected entirely in production costs. Additionally, suppliers are increasingly expected to seek price renegotiations.

Additional pressure from energy and chips

Beyond aluminum, high oil prices and a shortage of naphtha—a feedstock for plastic production—are major pressing factors. Price pressures are mounting on automotive components such as plastics, tires, and interior materials. Furthermore, as semiconductor companies focus on high-performance AI chips rather than automotive chips, the price of memory (DRAM) is rising, further straining costs.

Potential implications for consumers

Industry observers believe these developments will eventually lead to higher car prices for consumers. Experts noted, "If the war continues for a long time, price hikes will be inevitable," adding that "if companies raise prices simultaneously, they may maintain their market share, but the burden on consumers will increase significantly."

Bitcoin opened Monday's trading at $78,543.43, down 0.1% compared to Sunday's opening price of $78,656.73. By 7:30 a.m. ET, the price climbed to $78,951.96.

Ethereum opened at $2,322.49, up 0.3% from Sunday's opening of $2,316.21, and stabilized at $2,336.98 by the same time this morning.

Bitcoin experienced a brief surge past the $80,000 level before settling back into the $78,000 range, a zone it has maintained for some time. The currency has not consistently broken above this level since January 31.

Strong Monthly Performance Despite Volatility

Bitcoin has risen more than 17% over the past month, while Ethereum climbed more than 13% during the same period. Both assets have shown resilience during the ongoing conflict between the United States and Iran.

As crypto-related legislation advances toward the U.S. Senate and the potential for de-escalation in the Middle East looms, investor appetite is expected to continue supporting digital asset prices in the coming weeks and months.

Bitcoin Performance

The price this morning showed a slight 0.1% dip compared to Sunday's open. Here is a look at its performance over various periods:

* One week ago: -0.01%

* One month ago: +17.3%

* One year ago: -18.1%

Bitcoin hit its all-time high of $126,198.07 on October 6, 2025, while its historical low was $0.04865 on July 14, 2010.

Ethereum Performance

The price rose 0.3% compared to Sunday's open. Here is its performance:

* One week ago: -2%

* One month ago: +13.1%

* One year ago: +26.7%

Ethereum reached its all-time high of $4,953.73 on August 24, 2025, and its historical low of $0.4209 on October 21, 2015.

How Bitcoin Works

Bitcoin is a type of cryptocurrency—a digital currency that exists only in electronic form and operates without government or bank oversight. Unlike traditional currencies like the U.S. Dollar or the Euro, Bitcoin has no physical version and is not issued by any official authority.

It relies on a public digital ledger used to verify transactions and record ownership, known as the Blockchain. This system is globally distributed and decentralized, running across a vast network of servers worldwide.

Decentralization is a core element of cryptocurrencies, allowing for direct peer-to-peer transactions without a banking intermediary, which enhances security and reduces the potential for manipulation.

How to Buy Bitcoin in 2026

There are several ways to purchase Bitcoin, including cryptocurrency exchanges, fintech apps, or traditional brokerage firms that offer exposure through Bitcoin Exchange-Traded Funds (ETFs).

Before buying, you should determine your goal: do you want to physically own the currency with your own private keys, or do you prefer price exposure within a regulated and easy-to-use system?

Regardless of the method, it is important to remember that Bitcoin remains a high-risk and highly volatile asset compared to many other investments. Prices can rise or fall rapidly, often without warning.

Price charts for Bitcoin and Ethereum provide a visual look at how their value has evolved over time for both new and experienced investors, clearly illustrating the nature of these digital assets.

Oil prices jumped by more than 3% on Monday following Iranian claims of targeting a U.S. warship, forcing it to retreat from the Strait of Hormuz. While the United States denied the attack occurred, the conflicting reports sparked fresh volatility in energy markets.

Brent crude futures rose by $3.64, or 3.4%, to reach $111.81 per barrel by 11:24 GMT, reversing a $2.23 loss from Friday. Similarly, U.S. West Texas Intermediate (WTI) climbed by $3.40, or 3.3%, to $105.34 per barrel, recovering from a $3.13 loss in the previous session.

Conflicting Reports in the Strait

Iran's Fars News Agency, citing local sources, reported that Iranian forces targeted a U.S. warship intending to transit the Strait, successfully forcing it to turn back. However, U.S. Central Command (CENTCOM) explicitly denied that any U.S. Navy vessels were attacked on Monday.

Despite the conflicting accounts, prices remained elevated as supply disruptions persist. Giovanni Staunovo, an analyst at UBS, noted: "The price trajectory remains tilted to the upside as long as oil flows through the Strait remain restricted."

Geopolitical and Military Stance

* U.S. Assistance Initiative: President Donald Trump announced that the U.S. would begin efforts to assist stranded vessels in the Strait of Hormuz. However, without a peace agreement or the lifting of shipping restrictions, prices have stayed firmly above the $100 per barrel mark.

* Iranian Warning: Iranian military forces issued a stern warning to U.S. forces on Monday, stating they would "respond forcefully" to any perceived threat.

* Diplomatic Deadlock: While the Trump administration has prioritized a new nuclear deal, Tehran is seeking to delay nuclear talks until after the conflict ends, demanding the immediate lifting of naval blockades in the Gulf first.

Additional Maritime Incidents

The United Kingdom Maritime Trade Operations (UKMTO) reported that an oil tanker was struck by "unknown projectiles" while transiting near Fujairah, UAE, on Monday. This further emphasized the high risks currently facing commercial shipping in the region.

OPEC+ Production Adjustments

On Sunday, OPEC+ announced it would increase production targets by 188,000 barrels per day (bpd) in June for seven of its members, marking the third consecutive monthly increase. This figure aligns with May’s agreement, excluding the quota for the United Arab Emirates, which officially withdrew from OPEC on May 1. 

Analysts suggest that these production increases may remain largely theoretical as long as the war with Iran continues to physically obstruct Gulf oil supplies moving through the Strait of Hormuz.

The Japanese yen pared some of its gains against the dollar after a sharp surge earlier on Monday, which further fueled ongoing speculation that the Japanese government may have intervened to support the declining currency.

By 04:32 ET (08:32 GMT), the yen was up 0.1% against the dollar at 156.92, retreating slightly from a peak of 155.69. Most of these gains occurred during a brief window around midday Singapore time (04:00 GMT). Market holidays in Japan and China contributed to lower trading volumes.

Last week, the yen jumped approximately 1.5% against the dollar, recording its largest weekly gain since February.

Market participants widely believe that authorities in Tokyo intervened in currency markets last Thursday to keep the USD/JPY pair below the 160 level this year.

Barclays analysts noted: "With Japan entering the Golden Week holiday until next Wednesday, liquidity is likely to be thin and price movements more prone to one-way trends, so authorities may have sought to correct the level before this period."

According to sources cited by Reuters, Japanese authorities have already engaged in yen-buying operations for the first time in two years, although the Ministry of Finance did not immediately confirm the report. Reuters added that money market data from Friday suggests Tokyo may have spent up to 5.48 trillion yen ($35 billion) on currency purchases last week.

BCA Research analysts stated in a note: "Intervention can limit further yen weakness, but it does not necessarily create a sustained rally because macro factors continue to work against the currency." They pointed to high oil prices, the Federal Reserve's stance on interest rates, and low real interest rates in Japan as headwinds, alongside low implied volatility supporting yen-funded carry trades.

Dollar sees limited gains amid geopolitical tension

Parallel to the yen's movements, traders are closely monitoring developments in the conflict with Iran. Over the weekend, President Donald Trump announced a new initiative to assist ships stranded in the Strait of Hormuz, though specific details were sparse.

On Monday, joint maritime information centers reported that the U.S. established an "enhanced security zone" south of standard shipping lanes. Vessels were instructed to coordinate closely with Omani officials due to anticipated high traffic density, according to the Associated Press.

The U.S. Dollar Index, which measures the greenback against a basket of currencies, rose 0.1% to 98.22. The Euro remained largely stable at $1.1722, while the British Pound fell 0.1% to $1.3563. The German Economy Ministry stated it is in contact with Washington following Trump's warning on Friday regarding a potential 25% tariff hike on European cars and trucks.

Meanwhile, British markets were closed on Monday for a public holiday. The Australian dollar—often viewed as a proxy for risk appetite—fell 0.1% ahead of a key interest rate decision from the Reserve Bank of Australia this week, amid concerns about the war's impact on domestic inflationary pressures.