US-Israel Strikes on Iran Send Oil Prices Soaring

The United States and Israel launched strikes on Iran on Saturday, targeting its leadership in a move that could have far-reaching consequences for global markets.

Oil prices are likely to surge as a result of the conflict, with Brent crude potentially reaching $100 per barrel if supplies are disrupted. This could add 0.6-0.7 percentage points to global inflation, according to William Jackson, chief emerging markets economist at Capital Economics.

The conflict is also expected to exacerbate volatility across global markets, which have already been affected by US tariffs and a sharp tech selloff this year. Currency markets are likely to be impacted, with the dollar index potentially rising against most currencies except the Japanese yen and Swiss franc.