Oil Prices May Remain Elevated Until Early 2027 Due to US-Iran Conflict

The US-Iran war has caused significant disruptions to global oil supplies, but so far, crude prices have seen only a limited spike.

However, experts warn that if the conflict continues for an extended period, the world economy and India may struggle to absorb the shock.

A report by the US Energy Information Administration (EIA) estimates it will take until early 2027 for oil production and trade patterns to return to pre-conflict status.

The EIA also forecasts that oil prices will remain elevated due to the large drawdown in global inventories triggered by continued disruptions in the Strait of Hormuz.