Strait of Hormuz Crisis: Is the World Heading For An Oil Shock?
The escalating conflict in West Asia has triggered fears of a major global oil shock as disruptions around the Strait of Hormuz threaten one of the world's most critical energy routes. Nearly 20 million barrels of oil per day - about 20% of global supply - pass through the strait, and shipping traffic has dropped sharply amid insurance withdrawals and security concerns. Crude prices have already surged above $100 a barrel, while LNG prices in Europe and Asia are also rising due to halted exports. Analysts warn that if disruptions last more than a few weeks, the world could face inflation spikes, supply shortages and increased recession risks.
