Middle East War Triggers Global Oil Shock, Prices Surge To Highest Since 2008

The six-week war triggered a global economic shock centered on energy resources.

Crude prices surged to $141 a barrel, the highest since 2008.

AP News

Futures contracts for delivery in June remained around $115.

The emergency buffers of global reserves and pre-conflict shipments are being eroded.

The US Energy Information Administration expects a return close to pre-conflict levels in late 2026.

Emerging-market governments in Asia are bearing the brunt of the collateral damage.

In March alone, foreign investors pulled $70.3 billion from emerging market assets.

Asia Times

Asia's heavy reliance on oil from the Middle East compounds the economic pain.

The IIF's Jonathan Fortun said the duration of the Iran war is the key variable.

India, Indonesia, Malaysia and Thailand face fiscal pressures from fuel subsidies.

Prospects for the survival of a US-Iran ceasefire remain dim.

“It's the ceasefire that wasn't”

Australian Broadcasting Corporation

Netanyahu appeared to bend slightly, deciding to open direct talks with Lebanon.

He hasn't changed his position that Israel's Lebanese bombing campaign isn't part of the US-Iran deal.

Iranian officials have said the attacks must stop if the Strait of Hormuz is to be fully reopened.

The war began as a campaign against an extreme regime, though objectives shifted.