Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Oil prices could double if Red Sea shipping attacks continue warns Goldman Sachs

by January 5, 2024
January 5, 2024
Oil prices could double if Red Sea shipping attacks continue warns Goldman Sachs

Houthi rebel disruptions reaching the Straits of Hormuz could double oil prices, Goldman Sachs has warned.

In an interview the head of the company’s oil research division Daan Struyven said: “the Red Sea is a transit route and a prolonged disruption there, oil can be three or four dollars higher.

“However if you have a disruption in the Strait of Hormuz for a month, [oil] prices would rise by 20 per cent and could even eventually double if the disruption there lasted for longer,” he said.

Despite caveating that the situation was “highly unlikely”, Struyven’s comments join a collective of voices from across international business and politics decrying the situation in recent days.

Yesterday, former prime minister now foreign secretary David Cameron said in an interview to Sky News that the attacks “have to stop”.

“This is not just a British interest, it is global,” he said.

“The clear message, and over ten countries have signed a letter to the Houthis saying that these attacks are illegal and have got to stop and if they don’t, action will be taken.”

Since November, the rebels have attacked commercial shipping in the Red Sea more than 20 times using missiles, drones, fast boats and helicopters.

In response, the U.S. in December announced Operation Prosperity Guardian to step up patrols of the Red Sea and Gulf of Aden to protect commercial traffic – ships from the UK, Australia and Canada are among the other countries also involved.

Early-mid December saw the occasional minor oil price spike as a result of the actions, but the volatility has remained largely subdued as the wider market remains soft.

More significantly however has been the reaction of major shippers to the protective responses such as Prosperity Guardian.

Maersk and Hapag Lloyd, two of Europe’s largest shipping companies, have refused to use the Red Sea and Suez Canal routes, the former having had a vessel come under attack from rebels last weekend.

What began as seemingly isolated disruptions to Western commercial activities are now being seen by many to constitute targeted action in support of the Hamas cause as Israel continues to ramp up its attacks on Palestine.

Should they continue, they are likely to throw the already-chaotic state of global shipping in that area into further strife.

Read more:
Oil prices could double if Red Sea shipping attacks continue warns Goldman Sachs

0
FacebookTwitterGoogle +Pinterest
previous post
Watch top moments in Nikki Haley’s Iowa town hall, from torching Trump to defending recent comments
next post
The transformative power of solar energy for UK businesses

You may also like

Bank of England’s top economist offers two routes...

September 1, 2023

Jeremy Hunt announces extension to energy price guarantee

March 15, 2023

The Importance of Insurance For Business 

November 23, 2024

Getting To Know You: Will Polston, founder, Will...

February 3, 2023

Starmer sets out new AI action plan to...

January 13, 2025

Thousands cancel Netflix or Prime Video as UK...

August 5, 2022

Wealthy Britons disillusioned with uk’s business environment, survey...

July 3, 2024

Ofcom proposes new rules to curb Mobile roaming...

July 20, 2023

Protecting Your Business Against Phishing Attacks

April 19, 2024

Bank of England cuts rates to 4.75% as...

November 7, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Top university degrees lose sway as tech employers prioritise job-ready skills

      June 29, 2025
    • Government urges supermarkets to make healthy food more appealing in bid to tackle obesity crisis

      June 29, 2025
    • Senate Republicans ram Trump’s ‘big, beautiful bill’ through key test vote

      June 29, 2025
    • Chief Justice Roberts sounds alarm on dangerous rhetoric aimed at judges from politicians

      June 29, 2025
    • Britain’s fastest-growing firms revealed for 2025: Dfyne, Nala’s Baby and Hawkstone lead the charge

      June 29, 2025
    • Schumer to force Senate reading of Trump’s entire ‘big, beautiful bill’

      June 28, 2025

    Categories

    • Business (8,332)
    • Investing (2,081)
    • Politics (15,853)
    • Stocks (3,177)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved