<
https://www.theguardian.com/world/2026/mar/02/iran-strait-hormuz-oil-global-prices-cost-of-living>
"Donald Trump’s attempt to overthrow the Iranian government by force could
trigger a new wave of cost-of-living pressures that embattled governments and
central banks around the world will struggle to deal with.
The US-Israel attack on the Middle Eastern country at the weekend is the latest
in a long series of global economic shocks.
Shipping through the strait of Hormuz, a narrow channel on Iran’s southern
border that connects the Persian Gulf with the Gulf of Oman, effectively closed
after the missile attacks as companies swiftly moved to restrict transport.
The strait is a key shipping route. Not only does a fifth of the global
seaborne oil pass through it, so does a fifth of worldwide LNG shipments and
about a third of global trade in urea – the most widely used fertiliser.
“Of all the possible Middle East scenarios, the current state of play is one of
the worst for the global economy,” says the Commonwealth Bank of Australia’s
head of global economics, Joseph Capurso.
He added: “We expect the situation to escalate before it de-escalates.
“Iran’s leadership and military capabilities have been significantly degraded.
However, what is unknown is their intent and capability to block the strait of
Hormuz that would sharply push up oil and gas prices.”"
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
