Crude oil prices surged, with Brent Crude trading near 85 dollars per barrel and WTI Crude trading near 80 dollars per barrel (at the time of filing this
copy). Investors have been monitoring the escalating tensions between US and Iran, more so after Iran threatened to retaliate if US President Donald Trump followed through on threats to strike Iran's key facilities. Iran stated that it would "crush" key targets in the Middle East if Donald Trump’s threats to target the country’s infrastructure in the coming days are indeed carried out. In an interview to Fox News, US President Donald Trump had earlier this week stated, "US forces would target key Iranian infrastructure next week if a diplomatic breakthrough is not achieved." “Next week it gets really bad for them because next week comes the power plants,” he said. “Next week comes the bridges. We’re going to knock out all their power plants. We’re going to knock out all their bridges unless they get to the table and negotiate.” Goldman Sachs projected Brent Crude prices could climb above $110 per barrel in the fourth quarter if disruptions to Gulf exports persist. However, the investment bank expects prices to decline to the $60s by the end of the year if geopolitical tensions subside. In the near-term however, analysts are expecting the situation and the price of oil to remain volatile, top global oil expert and CEO-Australia, Trading.com Peter McGuire told Times Now Digital, "tempers are rising and prices in the crude market are exploding. The hostilities and the situation between US and Iran is tense again. As analysts monitor how geopolitical tensions unfold, aviation authorities continue advising airlines to exercise caution over parts of the Gulf region as the conflict increases risks to civilian aviation and critical transport routes at the moment.
