Oil Industry Braces for Years-Long Iran War
Oil producers, traders, and refiners are bracing for a prolonged war between the United States and Iran in the Persian Gulf with little to no hope of a quick resolution. By extension, they are also preparing for higher prices for longer, a theme present at this year’s edition of the Asia Pacific Pet
Source: OilPrice.com
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DW NOTE
WTI at $100 and Brent at $104 are falling — down 2.4% and 2.8% respectively — yet the headline speaks of bracing. The Strait closure is sixty days old. The IEA has quantified the supply loss at 5.7 million barrels per day. Iran is negotiating alternate routes with Oman. The industry isn't bracing — it's repricing what has already happened.