DBS Bank's Group Research report, written by Taimur Baig, Ph.D., Chief Economist, and Nathan Chow, Senior Economist and Strategist, talks about how US action in Iran might affect oil prices. The report says that right now, the existing sanctions probably won't have a big effect on the oil market. But if the US takes military action, oil prices could go up a lot. The report also says that if the Iranian government is threatened seriously, oil prices might go as high as $100 per barrel.
Geopolitical risks and oil prices.
Right now, as inflation is starting to slow down around the world, oil could still cause problems. We are looking at possible situations involving the US taking action in Iran.
In these situations, Iran's military action might cause oil prices to rise above $100 per barrel.
A US attack on Iran seems likely to happen soon, not just maybe. That's why the oil market is feeling nervous.
Even a brief break from immediate attacks might not calm the oil markets.
Geopolitical risks and oil prices.
Right now, as inflation is starting to slow down around the world, oil could still cause problems. We are looking at possible situations involving the US taking action in Iran.
In these situations, Iran's military action might cause oil prices to rise above $100 per barrel.
A US attack on Iran seems likely to happen soon, not just maybe. That's why the oil market is feeling nervous.
Even a brief break from immediate attacks might not calm the oil markets.
