CAUSE

One question. One truth.

“Why are global markets reacting so strongly to the death of Iranian Supreme Leader Ayatollah Ali Khamenei?”

Ayatollah Ali Khamenei's death triggered a sharp escalation of geopolitical risk in the Middle East. This threatens major oil supply disruptions via the Strait of Hormuz, which handles 20% of the world's oil, causing crude prices to surge and driving capital flows toward safe-haven assets.

Medium confidenceStructural

CURRENT STATE

Brent crude prices have risen to $73 per barrel, the highest since July, with analysts warning prices could reach $100 if tensions worsen. Shipping insurance premiums have surged by up to 50%, and investors are shifting toward the US dollar, Japanese yen, and gold.

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