President Trump considers a massive attack on Iran as global oil markets face pressure from escalating Middle East conflicts.
President Trump is mulling a "massive attack" on Iran to address the escalating conflict in the Middle East, which has expanded to include the Red Sea. The administration announced that the proposed strikes will be larger than any seen in the war thus far, as President Trump noted that Iran has not yet "received enough pain." The conflict has significantly disrupted global oil markets, with the Strait of Hormuz and the Red Sea facing heavy pressure from Iranian and Houthi attacks. While global demand has fallen faster than expected—partially due to China's rapid reduction in imports—crude inventories are reaching critically low levels. The US Strategic Petroleum Reserve has also been drawn down to its lowest level since 1983. Market analysts warn that while demand destruction has kept prices relatively contained, the "high-oil-price monster" remains a threat. If the current geopolitical instability persists, experts suggest oil could test previous highs of $120 to $150 a barrel.