All news

Oil may rise to $200 per barrel if Iran conflict continues — Bloomberg

According to the report, the probability of such a scenario is estimated at 40%

NEW YORK, March 27. /TASS/. Oil prices may reach $200 per barrel if the conflict around Iran continues until June and the Strait of Hormuz remains blocked, Bloomberg reported, citing analysts at Macquarie Group.

According to the report, the probability of such a scenario is estimated at 40%, while analysts estimate the likelihood of the conflict ending by the end of March at 60%. In the event of a prolonged closure of the strait, prices would have to rise enough to reduce the historically large level of global oil demand, the experts noted. It is also noted that oil prices could reach $200 per barrel.

The closure of the Strait of Hormuz has already led to a sharp increase in oil and petroleum product prices, as about 15 mln barrels of oil and 5 mln barrels of petroleum products normally pass through it per day.