economy
March 9, 2026
How high could oil prices go
Crude prices could surpass their 2008 record, with potentially dire effects for consumers and businesses
TL;DR
- The US-Israel war with Iran has caused oil prices to soar past $100 a barrel, reaching $119 by Monday.
- The closure of the Strait of Hormuz, which carries a significant portion of global oil and gas, could drive prices near $150 a barrel.
- Economists warn of serious consequences for global living standards, including a renewed inflation shock, rising borrowing costs, and pressure on governments to provide financial support.
- Prolonged uncertainty over the waterway's safety could keep oil prices elevated, potentially leading to stagflation and recession.
- Governments may need to release emergency oil reserves, and there is pressure to accelerate the switch to renewable energy.
- While some experts believe the global economy is less sensitive to energy shocks than in the past, many western governments have limited capacity for new support programs due to existing debt levels.
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