1001 GMT - The key risk for global energy markets after Israel's attack on Iran lies in the potential of Iran blocking the Strait of Hormuz, economists at Capital Economics say in a note. Around 25% of global seaborne oil supplies and 20% of global liquefied natural gas go through the strait, they say. However, even after a jump of more than 10% today, oil prices are still considerably lower than they were a year ago, they say. Therefore, it will continue to have a disinflationary impact. If Iran's oil production and export facilities are targeted, Brent crude could jump to $80-$100 a barrel, which would add about 0.5-1.0 percentage point to developed economies' inflation by the end of this year, they add. (sherry.qin@wsj.com)
(END) Dow Jones Newswires
June 13, 2025 06:01 ET (10:01 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.

