"Energy nuclear bomb" completely detonated! Goldman Sachs: may soar to $150 this month, impact far beyond Russia-Ukraine conflict.

Brent crude oil surged by 20% to $111.04 per barrel at opening, while West Texas Intermediate crude oil rose by 22%. Due to the continued closure of the Hormuz Strait, storage is rapidly filling up, and the United Arab Emirates and Kuwait have started to cut production, while Iraq began to stop production last week. The United States has also threatened to deepen a conflict that could disrupt the energy market. A warning from Goldman Sachs stated that if crude oil transport through the Hormuz Strait continues to be interrupted, global oil prices could soar to over $100 per barrel in a matter of days and possibly reach $150 by the end of the month. Currently, the market has already surpassed $110 following the Goldman Sachs warning, indicating that the market is in a state of panic trading. Goldman Sachs noted that the reduction in oil flow through the major sea routes connecting the Middle Eastern producers with global buyers has exceeded initial forecasts after recent U.S.-Israel attacks on Iran. Goldman Sachs had previously estimated a reduction of around 15% in oil flow through the strait. However, Iran's effective blockade of oil tankers passing through the narrow waters means that only around 10% of oil cargoes that usually pass through this route are able to do so. In a report to clients on Friday, the bank stated that the impact of this disruption is far greater than earlier global supply crises. The bank stated last week, "Based on these new data, developments, and the scale of the impact, if the flow through the Hormuz Strait remains low throughout March, oil prices, particularly product prices, are likely to exceed the peaks of 2008 and 2022." Goldman Sachs analysis shows that the impact on global oil flows last week was 17 times the peak production loss recorded after Putin ordered the invasion of Ukraine in April 2022, pushing oil prices to around $110 per barrel. Prices have already begun to sharply rise, climbing to over $90 per barrel later last week, marking the largest weekly increase since the COVID-19 pandemic six years ago, including a $10 increase in a single day on Friday. It is worth mentioning that international oil benchmarks briefly exceeded $120 in 2022 and reached around $145 during the 2008 energy crisis, both of which had severe consequences for the global economy. Clayton Seigle, Senior Researcher at the Center for Strategic and International Studies, stated that the market is increasingly accepting the possibility of a sustained supply shock "the grace period given to the Trump administration has expired last weekend." "A deficit of 20 million barrels per day is hitting the balance of the global oil market, with no signs of relief. President Trump's demand for unconditional surrender is a highly unlikely scenario. While observers may have initially thought his disregard for painful oil prices was just bluster, it is clear now that it is not."