President Trump applies an increasingly bellicose stance toward the Iranian leader Hassan Rouhani.

Jacob Miramar

2018-08-09 16:36:00 Thu ET

President Trump applies an increasingly bellicose stance toward the Iranian leader Hassan Rouhani as he rejects a global agreement to curb Iran's nuclear program. As Trump withdraws from the previous multilateral Iran nuclear deal, the U.S. plans to carry out its next implementation of stringent economic sanctions on Iran in late-2018. The Trump administration appears to apply the same strategy of draconian economic sanctions on North Korea to the Iran-U.S. nuclear negotiations. Rouhani consequently threatens to disrupt global oil shipments through the Strait of Hormuz, which serves as a strategic waterway for oil exports from the middle east.

Numerous stock market experts and pundits point out that the world would witness a sharp spike in oil prices toward $90-$100 per barrel if Iran decides to shut down the trade route. As one of the Top 5 oil supply countries, Iran may adversely affect the global energy transmission and deployment. An oil price spike often translates into higher costs of both consumption and production.

Higher inflation then induces central banks to raise interest rates to better balance the inexorable trade-off between price stability and employment. From a pragmatic perspective, the resultant energy price increases render international monetary policies less effective due to greater cost gyrations.

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

Investing in stocks is the best way for people to become self-made millionaires.

James Campbell

2019-06-25 10:34:00 Tuesday ET

Investing in stocks is the best way for people to become self-made millionaires.

Investing in stocks is the best way for people to become self-made millionaires. A recent Gallup poll indicates that only 37% of young Americans below the a

+See More

President Donald Trump blames China for the long prevalent U.S. trade deficits and several other social and economic deficiencies.

Apple Boston

2025-01-22 08:35:08 Wednesday ET

President Donald Trump blames China for the long prevalent U.S. trade deficits and several other social and economic deficiencies.

President Donald Trump blames China for the long prevalent U.S. trade deficits and several other social and economic deficiencies. In recent years, Pres

+See More

Foreign majority owners offer Sprint and T-Mobile to stop using HuaWei critical technologies after the U.S. telecom merger.

Daphne Basel

2018-12-20 13:40:00 Thursday ET

Foreign majority owners offer Sprint and T-Mobile to stop using HuaWei critical technologies after the U.S. telecom merger.

T-Mobile and Sprint indicate that the U.S. is likely to approve their merger plan as they take the offer from foreign owners to stop using HuaWei telecom te

+See More

Joseph Stiglitz and Andrew Charlton suggest that free trade helps promote better economic development worldwide.

Monica McNeil

2023-07-21 10:30:00 Friday ET

Joseph Stiglitz and Andrew Charlton suggest that free trade helps promote better economic development worldwide.

Joseph Stiglitz and Andrew Charlton suggest that free trade helps promote better economic development worldwide. Joseph Stiglitz and Andrew Charlton (200

+See More

Lyft seeks to go public with a dual-class stock ownership structure that allows the co-founders to retain significant influence.

Amy Hamilton

2019-03-11 10:32:00 Monday ET

Lyft seeks to go public with a dual-class stock ownership structure that allows the co-founders to retain significant influence.

Lyft seeks to go public with a dual-class stock ownership structure that allows the co-founders to retain significant influence over the rideshare tech unic

+See More

Disney acquires 21st Century Fox in a $52 billion landmark deal.

Amy Hamilton

2017-12-15 07:42:00 Friday ET

Disney acquires 21st Century Fox in a $52 billion landmark deal.

Disney acquires 21st Century Fox in a $52 billion landmark deal. This deal has a total value of about $66 billion while Disney assumes $14 billion of Fox

+See More