Tehran: The Strait of Hormuz is in turmoil as Iran warns that global oil prices could surge to $200 per barrel due to ongoing conflicts in the Middle East. Iran's military command has issued this warning in response to the escalating tensions impacting global energy transportation.
According to Thai News Agency, this development follows reports of attacks on three additional cargo ships in the Persian Gulf. The heightened tensions in the Strait of Hormuz, a crucial oil shipping route, have contributed to the unrest. Meanwhile, Iran continues its missile attacks on Israel and other targets in the region, showcasing its retaliatory capabilities amidst the growing military operations between the United States and Israel.
Despite a brief slowdown in the surge of oil prices earlier this week and a recovery in global stock markets, driven by investor optimism that US President Donald Trump might soon find a resolution to the conflict, the situation remains unstable. The Strait of Hormuz, responsible for transporting approximately a fifth of the world's oil, remains a significant risk to the global energy supply, reminiscent of the 1970s oil crisis.
Ibrahim Zolfagari, spokesman for Iran's military command, emphasized that the world should brace for potential oil price spikes to $200 per barrel. He underscored that energy prices hinge on regional stability, which is currently disrupted by the ongoing conflict. Additionally, Iran has threatened retaliation against banks conducting business with the United States or Israel, following reports of an attack on a bank's office in Tehran.