US-Iran Conflict Drives Oil Prices Up Over 6% in One Week

Oil prices surged by over 6% for the week due to renewed US-Iran hostilities, which have been ongoing for seven months. The conflict has led to supply disruptions and increased fuel prices globally.

The average price of US diesel hit a record high as a result of the US-Iran clashes and Ukrainian attacks on Russian refineries. This has pushed inflation and government borrowing costs higher worldwide, with warnings that the global economy might be heading for a hard landing.

Claudio Galimberti, chief economist at Rystad Energy, said 'All sectors of the economy are affected by diesel... it's the expectation that inflation will continue to go up.'

Analysts and tanker trackers indicate oil flows remain disrupted, despite the US government claiming Middle Eastern oil flows have returned to near normal levels in recent weeks.