Why the oil and gas price shock from the Iran war won’t just fade away

The US-Israeli war on Iran will have a profound impact on the global energy markets. It has already sent the price of the benchmark Brent crude oil soaring to nearly $120 per barrel, close to its highest point of $147 recorded in July 2008.

In 2022, after Russia’s invasion of Ukraine, Brent crude also spiked, reaching $139 per barrel in March, before stabilising at roughly pre-war rates the foll...