The longer the Israeli-Hamas conflict goes on, the greater the potential for Oil market disruptions

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Economists at the National Bank of Canada analyze the geopolitical and market risks of a prolonged Israeli-Hamas conflict. Brewing tensions could furt

her strain an already tight Oil market The longer the conflict goes on, the greater the potential for Oil market disruptions. In addition to the conflict spilling over into other regions such as Lebanon, there is also the risk of greater instability in neighbouring countries such as Egypt and Jordan.

This conflict adds a layer of geopolitical tension to a world already struggling with other challenges, including the ongoing war in Ukraine, great power rivalries, and escalating tensions over Taiwan. It also comes at a time when many Western leaders face growing political challenges at home, near-record debt levels and interest rates at two decade highs.

 

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