By Admin 
Crude Oil Price Jumps: Rising tensions in the Middle East have shaken the global energy market and now very serious warnings are emerging regarding oil prices. Macquarie Group analysts say that the situation is still being underestimated. If the situation does not improve, then crude oil can reach not only $ 150 but even $ 200 per barrel.
Warning of reaching 200 dollars not 150
According to Bloomberg, a March 27 report said that if the Strait of Hormuz remains closed for a long time, there will be a major impact on global supply and the availability of oil may be significantly less than the demand. Due to this, we may see a historic jump in prices.
According to experts, what happens next will depend on three things.
How long does Hormuz remain closed?
How much damage is caused to energy infrastructure?
How quickly does the supply chain return to normal?
Impact of Strait of Hormuz closure
Currently, Brent crude is down from its recent high of $119.50 to around $107 per barrel, but history shows how quickly prices can rise if conditions worsen. In the year 2008 it had reached 146 dollars per barrel.
In fact, about 20% of the world’s oil supply passes through this Strait of Hormuz. In such a situation, obstruction in this path means a direct impact on the economy of the entire world.
Meanwhile, it has been almost four weeks since the ongoing conflict between Iran, America and Israel and the tension is continuously increasing. Donald Trump may have talked about postponing the attacks for some time, but there are no clear signs of the war ending yet. In such a situation, if this conflict drags on for a long time, then the world may have to face not only expensive oil but also a big economic shock.
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