"Geopolitical Tensions in Middle East Drive Oil Price Surge"

Recent attacks by Iranian proxy forces on U.S. targets and subsequent retaliation have raised concerns about a potential disruption in the global oil market. Iran's oil exports to China, despite sanctions, have been a significant factor in keeping oil prices down. However, the recent escalation in tensions could lead to a removal of this dampening effect, potentially causing oil prices to rise significantly. World Bank estimates suggest a possible increase to around $102 per barrel in the event of a small disruption in oil supply, and a 56-75 percent increase to between $140 and $157 per barrel in the event of a large disruption.