economy
March 12, 2026
Middle East war creating ‘largest supply disruption in the history of oil markets’
Vast release of emergency crude reserves fails to quell mounting fears about supply crunch, rattling markets
TL;DR
- The war in Iran is causing the "largest supply disruption in history" for oil markets.
- The IEA has warned of a deeper crisis than those in 1973 and 2022 due to Iran's blockade of the Strait of Hormuz.
- Global oil prices exceeded $100 a barrel amid Iranian attacks and fears of supply shortages.
- The IEA and US released a record 400 million barrels of emergency crude reserves, but this failed to calm markets.
- Stock markets in the US, Europe, Japan, and Australia fell following the news.
- Iran's supreme leader called for the Strait of Hormuz to remain closed, exacerbating the crisis.
- The conflict is expected to cut regional oil and gas production by at least 10 million barrels a day.
- A global oil output slump of 8 million barrels a day is forecast for the year.
- Soaring energy costs are predicted to weigh on global economic growth.
Continue reading the original article