Ahmad 
Economic analysts warn that the confrontation of Iran in the Strait of Hormuz by Western countries could lead to a huge jump in oil prices.
According to Goldman Sachs’ head of oil research, Dan Strovin, a month-long disruption in the strait could cause a 20 percent increase in oil prices.
Stroven believes that if the strait is closed, it may be possible to redirect oil shipments away from the Red Sea, but if the closure continues for a long time, it could lead to a significant rise in oil prices.
Although Goldman Sachs avoids this scenario, Rapidan Energy Group analyst Bob McNally points out that there is a 30 percent risk of the conflict spilling over in the Middle East to Iran, which could lead to significant disruptions in oil flows in the Gulf region.
Commenting on the situation, S&P Global Vice President Daniel Yergin said that “oil prices are starting to be affected, and geopolitical risks are entering a market dominated by supply and demand.”
McNally points out that a prolonged disruption of the Red Sea could add $4 to the price of crude.
The US secretary of state began a tour of the Middle East in an effort to prevent the conflict in Gaza from escalating into a wider one, while US Energy Secretary Jennifer Granholm acknowledged that the Red Sea turmoil could increase the energy cost in terms of time and fuel consumed to transport those shipments.