Global Insight for Vietnam Today: Global energy disruption from the Middle East crisis | Global Insight
- 3 days ago
- 1 min read
In this episode of Global Insight, we examine the forces shaping our world. Escalating violence in the Middle East has pushed oil prices to a four-year high and shaken global markets, forcing governments to scramble for ways to stabilize supplies.
Steven Okun spoke with Vietnam Today, stating that the war ends when Iran stops fighting, not when Trump declares victory. Trump declaring victory does not mean the war with Iran will be over. That will only occur when Iran stops fighting. This could include cyber warfare, terror attacks and a mining of the Strait of Hormuz, even after the US attacks stops.
In other words, as said by Marine General and former Secretary of Defense James Mattis, "No war is over until the enemy says it's over." This "known unknown" makes it very hard to predict if there will be a prolonged impact on the market.
One result of the war which should be apparent, however: with countries like India and Indonesia having less than one month of oil reserves, nations should recognize the security imperative to diversify their energy needs and begin to do so more seriously.
