Middle East Conflict Sparks Oil Price Fears Amid Rising Tensions

The ongoing war between Iran and the United States has sent shockwaves through global markets, according to forecasts from major financial institutions. Research by Mian Muhammad Nadim warns that crude oil prices could reach $150 per barrel if the issue of oil supplies from the Middle East is not resolved soon.

Goldman Sachs, Capital Economics, and Facts Global Energy have all made predictions about the potential price increase, with Brent crude forecast to reach between $120 and $150 per barrel. The current price of Brent crude is around $108 per barrel, while US West Texas Intermediate has risen above $103.

Experts warn that sustained increases in oil prices could affect not only petrol but also electricity, transport, industry, food, and overall inflation. Higher oil prices could also increase trade and financial pressure on importing countries.

The situation is concerning for Pakistan, where rising crude oil prices could increase the country's import bill, put pressure on petroleum product prices, and fuel inflation. Continued increases in oil prices could also pressure the rupee and affect other sectors of the economy.