In 2020, the US-Iraq conflict escalates, the situation in the Middle East continues to be tense, and international oil prices are rising rapidly. On January 6, Brent crude broke the $ 70 / barrel intraday mark, setting a new high in nearly seven months. New York crude oil opened higher and higher, surpassing US $ 64.3 / barrel, breaking the record in August.
The fermentation of the Middle East situation has also caused concern about the safety of tanker shipping in the Strait of Hormuz. Last April, the United States planned to completely ban Iranian oil exports. Subsequently, multinational merchant ships exploded in Fujairah Port, UAE, close to the strait. Brent crude rose to $ 74 per barrel at the time.
Historically, the three oil crises of 1973, 1978, and 1990 were all related to the escalation of military conflicts in major countries in the Middle East. If the event is prolonged, it may have a significant impact on oil prices.