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Iran War Turns Prolonged Test of Global Economic Endurance

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The Iran war has transformed into a prolonged and unpredictable test of global economic endurance, with crude oil prices back above $100 per barrel.

The conflict's initial shock is giving way to a more volatile phase, where many safeguards that cushioned the blow have disappeared.

US President Donald Trump predicted last week that the conflict would end after the US midterm elections on November 3, but recent developments suggest this may be overly optimistic.

The Iran-aligned Houthis have made rapid advances in Yemen, tightening their grip on the Bab el-Mandeb Strait at the southern entrance to the Red Sea. They announced a naval blockade of the shipping route in July and have reiterated that transit remains safe for all vessels except those belonging to Saudi Arabia.

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