Another serious concern is emerging in the global economy. Due to the tense geopolitical situation in the Middle East and restrictions in the Strait of Hormuz, global oil reserves have approached their lowest level in the last eight years. Zamin.uz presents details on the causes of this energy crisis and the rapid rise in prices on the world market.
Energy shortage: Why are oil reserves declining?
Analyst estimates
Reuters agency and Goldman Sachs financial analysts report that the restriction of raw material supplies through the Strait of Hormuz is causing great global concern. Experts note that while previous reserves covered global demand for up to 101 days by the end of May, this figure is expected to drop to 98 days. Furthermore, it is noted that global oil product reserves have fallen from
50 million barrels before the US-Israel war to currently 45 million barrels.
Sharp price jump: Oil exceeds $114
Market changes
Due to the current tension, the price of North Sea Brent crude oil began to rise sharply in stock trading on May 4. At the peak of trading, the price of a barrel of oil exceeded $114.
Financial experts directly link this rapid price growth to geopolitical tensions in the Middle East and logistical disruptions.
Dear readers, how do you think this energy crisis will affect the prices of products and fuel worldwide? Leave your thoughts in the comments!
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