Ongoing conflict causes energy channels to be blocked, leading to continuous rise in international oil futures prices

The Middle East conflict has entered its sixth day, with crude oil futures prices continuing to surge and damage to shipping and energy infrastructure further worsening the situation. Frank Walbaum from Naga stated that the uncertainty regarding the duration of the conflict keeps upward pressure on oil prices "persistently present." He mentioned that Iraq has suspended production due to insufficient oil storage facilities, and traders are "pricing in advance the risk that the ongoing conflict may trigger broader production shutdowns." Although the United States plans to provide insurance support for oil tankers and deploy naval escorts, which may help curb a sharp rise in oil prices, "for the market to see a significant pullback, clear signs of easing geopolitical tensions or a sustained recovery in commercial oil tanker shipments are still needed."