# What a $100-Per-Barrel Oil Spike Does to the Global Economy

An episode of [Big Take](https://invisiblenetwork.ai/podcast/1578096201), 10 Mar 2026, 20 min.

Audio: https://podtrac.com/pts/redirect.mp3/tracking.swap.fm/track/UVBrz8bN8aM2Xe47PEPu/traffic.omny.fm/d/clips/e73c998e-6e60-432f-8610-ae210140c5b1/825d4e29-b616-46f4-afd7-ae2b0013005c/6844c743-59ad-4a24-8bac-b409015defff/audio.mp3?utm_source=Podcast&in_playlist=8b1dd624-a026-43e9-8b57-ae2b00130066

After oil soared to nearly $120 per barrel on Sunday, President Donald Trump began to signal that the US had already achieved victory in Iran and could wind down the conflict soon. There was an immediate drop in oil prices — and the entire global economy seemed to sigh in relief. On today’s Big Take podcast, Stacey Vanek Smith and Bloomberg Opinion’s Javier Blas discuss why the global economy is so sensitive to oil price spikes and how oil prices are ratcheting up both domestic and international pressure on Trump. Read more: Higher Gas Prices Hit Americans Already Hurting From Inflation This Isn’t an Energy Crisis — at Least Not Yet Hosted by Stacey Vanek Smith; Produced by David Fox; Reported by Stacey Vanek Smith; Edited by Naomi Shavin. Fact-checking by Eleanor Harrison-Dengate, Aaron Edwards and Jeff Grocott; Engineering by Alex Sugiura. Senior Producer: Naomi Shavin; Deputy Executive Producer: Julia Weaver. Executive Producer: Nicole Beemsterboer. See omnystudio.com/listener for privacy information.

## Transcript

[0:02] Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.
[0:08] Speaker 2: We could call it a tremendous success right now as
[0:11] Speaker 2: we leave here, I could call.
[0:12] Speaker 3: It, or we could go further, and we're going to
[0:15] Speaker 3: go further.
[0:18] Speaker 4: President Trump began to signal on Monday that the US
[0:20] Speaker 4: had already achieved victory in Iran, saying in a press
[0:23] Speaker 4: conference that evening that the war will end quote very
[0:27] Speaker 4: soon Sundays.
[0:29] Speaker 3: I think soon, okay, and very soon.
[0:31] Speaker 4: The comments triggered a twenty five percent drop in crude
[0:34] Speaker 4: oil prices, bringing some relief to the global economy, after
[0:37] Speaker 4: oil had searched to a four year high of nearly
[0:39] Speaker 4: one hundred and twenty dollars a barrel overnight Sunday into Monday.
[0:43] Speaker 2: The mote we spend on energy the last that we
[0:46] Speaker 2: spend off something else.
[0:47] Speaker 4: Even though the spike in oil prices was brief, Bloomberg
[0:50] Speaker 4: Opinions Javier Blast says that sustained high oil prices can
[0:54] Speaker 4: quickly become an issue for the US and for global economies.
[0:57] Speaker 2: If it's a few days, no problem. Is a few day,
[1:00] Speaker 2: a few weeks, it starts to be a problem. If
[1:02] Speaker 2: it's a few months, certainly it is a problem. It's
[1:05] Speaker 2: not just gasoline, but the bigger impact, the more potentially
[1:10] Speaker 2: damaging for inflation, is that everything else needs to be
[1:14] Speaker 2: reprised at the higher level. Because everything gets transported. The
[1:17] Speaker 2: uber driver is spending more money into gasoline, that fares
[1:22] Speaker 2: needs to go up.
[1:23] Speaker 3: Jet fuel goes higher. Every airline in.
[1:26] Speaker 2: The world increase their first But also think about the supermarket.
[1:29] Speaker 2: If the cost of transportation of groceries go up, and
[1:32] Speaker 2: that means that at some point the grocery costs have
[1:36] Speaker 2: to go higher.
[1:37] Speaker 4: The jump in oil prices is due to a near
[1:39] Speaker 4: standstill in the Strait of Hormuz, a crucial shipping lane
[1:43] Speaker 4: off the coast of Iran where twenty percent of the
[1:45] Speaker 4: world's oil is transported. Now. Trump has suggested the US
[1:49] Speaker 4: can offer oil tankers safe passage through the strait, but
[1:53] Speaker 4: oil supply will likely be constrained for as long as
[1:56] Speaker 4: the conflict drags out. That's in part by design, as
[1:59] Speaker 4: that's one of Iran's major points of leverage.
[2:01] Speaker 2: Unless the traffic on the Street of Hormones restart, the
[2:06] Speaker 2: prices are going to go creeping higher and higher, and
[2:10] Speaker 2: that's bad news for the economy. But it's also bad
[2:12] Speaker 2: news politically, President Trump doesn't want to be fighting mid
[2:15] Speaker 2: channelations with those kinds of prices because the price of
[2:18] Speaker 2: gasoline is also very visible and it has this kind
[2:21] Speaker 2: of magnifying impact.
[2:29] Speaker 4: I'm Stacey Mannix Smith and for Sarah Holder and David Gora,
[2:32] Speaker 4: and this is the big take from Bloomberg News, sitting
[2:35] Speaker 4: on the show, why the global economy is so sensitive
[2:38] Speaker 4: to oil hitting one hundred dollars a barrel and how
[2:41] Speaker 4: long the impact of even a brief spike could last heavier.
[2:49] Speaker 4: You watched the price of oil a lot, and you
[2:52] Speaker 4: spend a lot of time thinking about the implications all
[2:54] Speaker 4: over the world. When you saw oil go up over
[2:57] Speaker 4: one hundred dollars a barrel?
[2:59] Speaker 3: What went through your My day is ruined?
[3:03] Speaker 2: What mean?
[3:05] Speaker 4: What do you mean your days?
[3:06] Speaker 3: Right?
[3:07] Speaker 2: Well, the market the market reopened on Sunday at ten
[3:12] Speaker 2: o'clock at night in the evening here in London when
[3:15] Speaker 2: I'm based, so I was watching the market reopen. I
[3:18] Speaker 2: was expecting more or less one hundred dollars oil almost
[3:23] Speaker 2: immediately because I was talking to traders, I knew were
[3:25] Speaker 2: more or less where everyone was going to go into
[3:27] Speaker 2: the opening. I mean, what is the difference between ninety
[3:30] Speaker 2: nine and a half and a hundred. Well, it's not
[3:33] Speaker 2: a triple digit. It's completely psychological. But I know that
[3:37] Speaker 2: the moment that we hit one hundred dollars is on
[3:40] Speaker 2: every news bulletin at night on television. Everyone is worry
[3:44] Speaker 2: My dad is funny me and saying, trul I buy
[3:46] Speaker 2: more petrol for the more gasoline for the car. Everyone
[3:50] Speaker 2: is talking immediately about oil, and that means that the
[3:52] Speaker 2: stock market probably is going to go down. The bond
[3:55] Speaker 2: market is going to also suffer.
[3:57] Speaker 1: It.
[3:58] Speaker 2: Just one hundred dollars oil put oil absolutely center of
[4:04] Speaker 2: the global economy. You think about the last time that
[4:07] Speaker 2: we have high oil prices was in twenty twenty two,
[4:10] Speaker 2: after Russia in Bay Ukraine. I was checking before I
[4:14] Speaker 2: came to the studio. How many days in twenty twenty
[4:17] Speaker 2: two the price of oil close at the end of
[4:20] Speaker 2: the day about one hundred dollars a barrel. One hundred
[4:24] Speaker 2: and ten days we so far on these crisis have
[4:28] Speaker 2: yet to get. At the time that we are recording this,
[4:31] Speaker 2: we have yet to see a closing price above one
[4:34] Speaker 2: hundred dollars. You know, we need many, many, many days
[4:37] Speaker 2: of one hundred dollars plus to really damage the economy.
[4:41] Speaker 2: So we are really at the beginning of this. If
[4:44] Speaker 2: three months from now we are still talking about this,
[4:47] Speaker 2: then certainly we have a problem.
[4:48] Speaker 4: Why is this conflict and this little passageway between the
[4:54] Speaker 4: Persian Gulf and the Arabian Sea, why is that able
[4:57] Speaker 4: to have such a huge, huge impact on global prices.
[5:01] Speaker 2: Well, there are three reasons why the crisis is having
[5:04] Speaker 2: such an impact on the market. One is that around
[5:08] Speaker 2: that body of water we have some of the world's
[5:11] Speaker 2: largest oil producing countries Saudi Arabia, kube iraq Iran, Katar,
[5:15] Speaker 2: the United Arab Emids, Barraying. These are the kind of
[5:19] Speaker 2: countries that they are associated with oil productions. Then it's
[5:22] Speaker 2: a very narrow straight The channel on the water where
[5:25] Speaker 2: the vessels, the big oil tankers can go is only
[5:29] Speaker 2: two miles wide. It is really really narrow.
[5:32] Speaker 4: Have you seen it.
[5:33] Speaker 2: I have seen it. I've been in the street the Hormones.
[5:35] Speaker 2: I have been with a small boat going in and out.
[5:37] Speaker 2: And you know, the tankers are humungous. I mean we
[5:40] Speaker 2: are talking about about three hundred and fifty meters long tankers.
[5:43] Speaker 2: I mean each tanker carries about two million barrels of
[5:47] Speaker 2: oil which is enough to supply for a full day
[5:50] Speaker 2: a country like France, So it is narrow, and then
[5:55] Speaker 2: you cannot really bypass in size is twenty million borrowers
[6:01] Speaker 2: a day of crude oil and refine products. We have
[6:03] Speaker 2: some bypass options, but they give us about seven million
[6:07] Speaker 2: borrowers a day of bypass at best. So even if
[6:10] Speaker 2: you get all the bypass working, you can't buy pass
[6:12] Speaker 2: about a third, but you still have two thirds of problem. Typically,
[6:16] Speaker 2: when we have a problem with oil production anywhere in
[6:19] Speaker 2: the world, we say, okay, can we tap the spear capacity.
[6:23] Speaker 2: So say that we have a hurricane hitting the Gulf
[6:27] Speaker 2: course in the United States and we lose production. We
[6:30] Speaker 2: lose a million barrooers a day. It has happened in
[6:32] Speaker 2: the past over the last twenty years a couple of times.
[6:35] Speaker 2: So Saudi arabi are ramp up production and offset that lost.
[6:40] Speaker 2: The main problem is that all the spare capacity is
[6:43] Speaker 2: concentrated inside the Strait of Hormuz. Now you cannot go
[6:48] Speaker 2: to Saudi Arabia because they cannot get the barrels out,
[6:51] Speaker 2: and that's really what is exacerbating the crisis.
[6:56] Speaker 4: I wanted to run some basic math by you, so
[6:58] Speaker 4: I spoke over the weekend with Christopher Knittl. He's an
[7:01] Speaker 4: energy economist at MIT, and he gave me this kind
[7:03] Speaker 4: of useful equation that I wanted to run by you.
[7:06] Speaker 1: So a good rule of thumb is every ten dollars
[7:10] Speaker 1: increase in the price of oil raises our gas prices by.
[7:14] Speaker 3: About twenty cents. Yeah, that's about right.
[7:16] Speaker 2: That's a very well known back of the envelope, Matt,
[7:19] Speaker 2: that you could use in the industry. As always, this
[7:23] Speaker 2: is a rough estimate.
[7:24] Speaker 4: Oil before the conflict, I think was it around sixty
[7:27] Speaker 4: five ish dollars a barrel?
[7:28] Speaker 2: Is that right?
[7:28] Speaker 3: Yeah?
[7:29] Speaker 4: What is it now?
[7:30] Speaker 3: We had at the ataight?
[7:31] Speaker 4: Actually, okay, so eighty eight, Like, that's roughly twenty dollars
[7:35] Speaker 4: a barrel more than it was before the conflict. So
[7:37] Speaker 4: that would be roughly forty cents a gallon more.
[7:40] Speaker 2: Yeah, that's about forty cents a gallon mode And that's
[7:43] Speaker 2: more or less what we have seen already happening on
[7:45] Speaker 2: the market and the US gasoline price it just goes immediately.
[7:51] Speaker 2: There are other countries, particularly in Europe, where taxes are
[7:55] Speaker 2: very important on price formation for gasoline, but in the
[7:57] Speaker 2: US they really they drive it feel the impact of
[8:00] Speaker 2: the oil market literally the following morning.
[8:03] Speaker 4: Well, it was interesting because when I spoke with Knittl,
[8:05] Speaker 4: he was actually driving and he was actually thinking about
[8:09] Speaker 4: gas prices as well. He was mapping out his trip.
[8:12] Speaker 3: I got it in.
[8:13] Speaker 1: Two Sparry, Massachusetts, and it was three dollars ninety nine cents.
[8:19] Speaker 4: Again, WHOA, what did you think when you were filling
[8:23] Speaker 4: up your car?
[8:24] Speaker 1: I actually didn't fill up all the way because I
[8:28] Speaker 1: know I'm going to be stopping later where I'm in
[8:31] Speaker 1: New Hampshire, where I'm expecting it to be much lower.
[8:34] Speaker 4: So this is apparently happening all over the country. People
[8:38] Speaker 4: are kind of mapping out their trips and thinking about
[8:41] Speaker 4: gas prices all the time. What other prices might we
[8:44] Speaker 4: see go up in addition to gas prices.
[8:48] Speaker 2: If the conflict lasts, and I think that that's the
[8:50] Speaker 2: big if I mean we were to be in a
[8:53] Speaker 2: situation of many, many many weeks, I will start really
[8:57] Speaker 2: getting worried about diesel easily is important because of the
[9:01] Speaker 2: freight industry, transportation, all those big trucks service in everything else,
[9:06] Speaker 2: So groceries that will go up over time. Inside the
[9:10] Speaker 2: Strada Hormuz area we have not only lost production of
[9:15] Speaker 2: crude oil, we have also lost production of refined products
[9:18] Speaker 2: and a number of refineries and one.
[9:21] Speaker 4: Fuel, gasoline, like all the things that come from.
[9:23] Speaker 2: All all all those kind of things that they come
[9:25] Speaker 2: from the barrel, but we rely a lot in certain
[9:27] Speaker 2: parts of the world. We rely a lot of from
[9:30] Speaker 2: that that region refining capacity for get fuel. So I'm
[9:34] Speaker 2: expecting the first impact that we're going to see all
[9:36] Speaker 2: of us the price of gasoline. Second impact traveling around
[9:40] Speaker 2: holiday summer airfares, they're gonna go up.
[9:44] Speaker 3: HM.
[9:45] Speaker 4: Take Asia right now, like, what is the situation there?
[9:48] Speaker 1: Is?
[9:48] Speaker 4: Their situation the same as we're seeing in the US.
[9:51] Speaker 4: Ors is different.
[9:52] Speaker 2: It's worse, much worse than the United States because Asia
[9:56] Speaker 2: relies on the Middle East a lot for the oil.
[9:59] Speaker 2: In in the oil market, we talk about being priced
[10:03] Speaker 2: out from the market. We have less supply, so we
[10:07] Speaker 2: need to destroy some demand. And typically that demand destruction
[10:12] Speaker 2: happens in poorer countries that they don't have The citizens
[10:16] Speaker 2: don't have exactly the same money to keep up with
[10:20] Speaker 2: every other person in every other country that is happy.
[10:23] Speaker 2: It's not happy, it's unhappy paying the high price. But
[10:26] Speaker 2: they can't afford it, So places like Bangladesh, Pakistan, other place, Vietnam, Philippines.
[10:32] Speaker 2: In Asia, we are beginning to see demand destruction via
[10:36] Speaker 2: you know, there is less oil, there is less gasoline.
[10:40] Speaker 3: Diesel, et cetera, et cetera.
[10:41] Speaker 2: So governments have to announce some measures like you know,
[10:45] Speaker 2: asking citizens not to travel too much, et cetera, et cetera.
[10:50] Speaker 2: So in Asia is really where where this crisis is
[10:52] Speaker 2: hitting harder.
[10:54] Speaker 4: How have the markets been reacting to these kind of increases?
[10:57] Speaker 4: In all this volatility in the price of oil, it has.
[11:00] Speaker 2: Been a wild period on the market. We have seen
[11:03] Speaker 2: trade range in one single day where the price of
[11:07] Speaker 2: oil at the lowest point of the day compared to
[11:09] Speaker 2: the highest point of the day will be more than
[11:12] Speaker 2: thirty dollars. That is very unusual. I have been covering
[11:16] Speaker 2: this market for twenty five years. I have seen that
[11:18] Speaker 2: a couple of times on my career. I mean, there's
[11:20] Speaker 2: a lot of tension on the market. We see the
[11:23] Speaker 2: price at times reacting five six, seven, eight percent using
[11:27] Speaker 2: like two three seconds because a headline has flashed on
[11:30] Speaker 2: the screens of oil traders saying that you know, Iran
[11:33] Speaker 2: has done that, or the United States is saying that,
[11:35] Speaker 2: do you see the.
[11:36] Speaker 4: Markets pricing in a long term conflict or do the
[11:39] Speaker 4: market seem to think it's going to be pretty short lived?
[11:41] Speaker 2: Now at the moment, the market is pricing a very
[11:43] Speaker 2: short conflict. If the market was pricing a long conflict
[11:47] Speaker 2: measured in months rather than days, we will be trading
[11:49] Speaker 2: above one hundred and fifty dollars.
[11:53] Speaker 4: After the break. What happens if this conflict stretches out
[11:56] Speaker 4: for weeks or even months? And how hard will it
[12:00] Speaker 4: be to bring prices back down? Have you we talked
[12:11] Speaker 4: about the possible reverberations of high oil prices around the
[12:14] Speaker 4: global economy. Let's talk about some of the fallout we
[12:17] Speaker 4: could see from all of that, from that chain reaction.
[12:21] Speaker 4: First of all, one of the things that's been coming
[12:24] Speaker 4: up a lot is US treasuries, US treasury bonds. Is
[12:28] Speaker 4: this conflict destructive or helpful for US treasuries? What have
[12:33] Speaker 4: we been seeing?
[12:34] Speaker 2: We are a week and a half into the conflict.
[12:37] Speaker 2: For getting really too painful action to the treasury market
[12:43] Speaker 2: or even the dollar, we will need many, many.
[12:46] Speaker 3: Weeks of the conflict and very high prices.
[12:49] Speaker 4: We talked about the relationship between oil prices and the
[12:51] Speaker 4: cost of gas, also the cost of goods and services,
[12:54] Speaker 4: and the increased volatility in the market. So if the
[12:57] Speaker 4: conflict ended tomorrow, how long would it take for things
[13:02] Speaker 4: to come back down in cost, the price of oil
[13:05] Speaker 4: to restabilize, and the price of gas to come back
[13:09] Speaker 4: down to where it was before the conflict.
[13:11] Speaker 2: It's always it goes up very fast and it comes
[13:14] Speaker 2: down a bit slower. But in the US typically that
[13:18] Speaker 2: process is very quick, So you know at most a
[13:21] Speaker 2: week of a difference between the price of oil coming
[13:24] Speaker 2: down and the price of gasoline coming down.
[13:26] Speaker 4: If it goes on a little longer, might it take
[13:29] Speaker 4: longer for the price to fall. One of the things
[13:32] Speaker 4: that Chris Knittle told me from the road was that
[13:35] Speaker 4: there's something called the rocket and feather phenomenon.
[13:38] Speaker 1: Gas prices tracked oil prices almost immediately when oil prices
[13:44] Speaker 1: are going up.
[13:46] Speaker 3: But then when oil prices are going down.
[13:48] Speaker 1: Oh wo behind, And we called the rockets the rockets
[13:52] Speaker 1: and feathers phenomenon.
[13:54] Speaker 4: So that's I guess, the idea that when oil prices
[13:56] Speaker 4: go up, gas prices go up really fast, almost in tandem.
[13:59] Speaker 4: But sometimes when oil prices fall, gas prices take their
[14:02] Speaker 4: sweet time following.
[14:04] Speaker 2: It's almost more than a feather. I think it's a
[14:06] Speaker 2: feather with a parachute. At times it takes you know,
[14:09] Speaker 2: not a few hours, it takes maybe a week, but
[14:11] Speaker 2: we are talking about a week. I mean, I will
[14:13] Speaker 2: be concerned is if we have, say three months of
[14:16] Speaker 2: high prices, because it filters around the economy and then
[14:20] Speaker 2: you know, will a supermarket I have to increase my
[14:23] Speaker 2: box of cereals, Will they immediately lower the prices? No,
[14:27] Speaker 2: because they have to go through that All that is
[14:29] Speaker 2: talk that was transported by that track where the frame
[14:32] Speaker 2: was more expensive, and that's where things take a bit
[14:35] Speaker 2: more time. But we are not really there yet in
[14:38] Speaker 2: terms of those kinds of impacts.
[14:40] Speaker 4: I mean, that's that delay in the return to normal.
[14:43] Speaker 4: If the conflict isn't resolved in days, that does seem
[14:47] Speaker 4: like a really big political risk for President Trump. I mean,
[14:50] Speaker 4: if gas prices stay high through the end of the year,
[14:52] Speaker 4: even I mean that would go through the midterm elections.
[14:56] Speaker 4: I mean, how might that impact Trump's party, the Republicans,
[15:00] Speaker 4: and that midterm election.
[15:01] Speaker 2: It is one of the reasons that I have been
[15:03] Speaker 2: skeptical that this is gonna go for loan I have
[15:05] Speaker 2: taken ABEU that this is not gonna turn into an
[15:08] Speaker 2: energy crisis. And the main reason for that is because
[15:11] Speaker 2: I don't think that President Trump wants that, and I
[15:14] Speaker 2: don't think that politically he can afford it. So sometimes
[15:17] Speaker 2: when something cannot be possible, it's just not gonna happen.
[15:20] Speaker 2: I think that at some point President Trump will declare pictory,
[15:23] Speaker 2: whether that's right or not.
[15:25] Speaker 3: He will say, look, we achieve awad objectis.
[15:27] Speaker 2: With the stoylot of the missiles, the drones, the navy,
[15:31] Speaker 2: the supreme leader is gone. I won't of course, one
[15:37] Speaker 2: knows how he starts at war, but it doesn't know
[15:40] Speaker 2: how it's gonna finish it. Because the Iranians have a
[15:43] Speaker 2: boat here. President Trump made a clear victory and say
[15:46] Speaker 2: I'm done. I'm not gonna fight anymore. You know we
[15:49] Speaker 2: we we got what we wanted. And the Iranians may say, well,
[15:53] Speaker 2: actually we don't. I mean like, we're gonna continue hitting
[15:56] Speaker 2: you with missiles and we're gonna make the life of
[15:59] Speaker 2: the oil tankers in the the Hormones impossible.
[16:02] Speaker 4: Is there anything the US can do to bring down
[16:05] Speaker 4: oil prices if the conflict does not wrap up quickly?
[16:09] Speaker 2: Naval escortes through the Strada hormones. At a possibility, the
[16:13] Speaker 2: United States can use the Navy to protect oil tankets
[16:17] Speaker 2: crossing the Strada hormones.
[16:18] Speaker 3: That has been done in the past.
[16:20] Speaker 2: It's possible, but it's very risky and it probably will
[16:23] Speaker 2: put American lives and military assets at risk, and it
[16:29] Speaker 2: may not completely work.
[16:30] Speaker 3: So that's one option.
[16:32] Speaker 2: The other option is that the United States can release
[16:34] Speaker 2: that is, to take petroleum reserves, and that will really
[16:36] Speaker 2: float the market, bring the prices down for a while,
[16:39] Speaker 2: et cetera, et cetera.
[16:40] Speaker 4: President Trump said the war objectives were largely complete and
[16:44] Speaker 4: oil did fall. It went down to less than hundred
[16:47] Speaker 4: ninety dollars a barrel. Is that a signal that he's
[16:50] Speaker 4: feeling the pressure of high oil prices and can he
[16:55] Speaker 4: keep talking oil down?
[16:57] Speaker 2: The White House started really to try to toll down
[17:00] Speaker 2: the market over the last couple of days, very very heavily.
[17:05] Speaker 2: So as an indication that close to one hundred dollars
[17:08] Speaker 2: it starts to be painful. I think there's also you're
[17:11] Speaker 2: gonna see countries like China, Japan, some of the Europeans,
[17:16] Speaker 2: India certainly fonding the White House and saying the White House,
[17:21] Speaker 2: I mean the ha White House team around the president.
[17:24] Speaker 2: What's going on, what's the plan? Uh, this is bad
[17:27] Speaker 2: for our economies. So I think that that's one one
[17:29] Speaker 2: of the questions. But the reaction of the market also,
[17:34] Speaker 2: it was very interesting because it really indicates to us
[17:38] Speaker 2: that the moment that the war is over, prices can
[17:42] Speaker 2: go down quite rapidly. And this is the whole premise
[17:46] Speaker 2: of the White House right now. The messaging is, yes,
[17:51] Speaker 2: we know, prices are high. We knew this was going
[17:54] Speaker 2: to happen. I have some questions mark about whether they
[17:57] Speaker 2: really anticipated that we were gonna go all waight to
[18:00] Speaker 2: weight one hundred dollars. But the messaging is, yes, we know,
[18:03] Speaker 2: we hear you. But this is gonna be over soon,
[18:06] Speaker 2: and when it's over, the prices are gonna go down sharply.
[18:14] Speaker 2: I think largely is true, provided that the war really
[18:18] Speaker 2: ends soon and I mean days rather than many weeks,
[18:22] Speaker 2: and certainly not months. And it's true as far as
[18:27] Speaker 2: Iran doesn't damage any production facilities, because at the moment,
[18:32] Speaker 2: all what we have is a blockade on the straight
[18:34] Speaker 2: of hormones. But nothing is run with oil production facilities.
[18:39] Speaker 2: Everything is working, some of the vessels are already loaded
[18:42] Speaker 2: with glude oil ready to go the moment that reopens.
[18:45] Speaker 3: So I think that it is true.
[18:48] Speaker 2: But if Iran was to attack oil fields or oil
[18:52] Speaker 2: terminals and destroy them, that will be a complete different
[18:56] Speaker 2: scenario because that will mean that when the war ends,
[18:58] Speaker 2: we don't have a quick restart production and esports, and
[19:02] Speaker 2: that will be a big problem.
[19:05] Speaker 4: This is the Big Take from Bloomberg News. I'm Stacey
[19:08] Speaker 4: Mannock Smith in for Sarah Holder and David Gora. To
[19:10] Speaker 4: get more from The Big Take and unlimited access to
[19:13] Speaker 4: all of Bloomberg dot com, subscribe today at Bloomberg dot
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[19:23] Speaker 4: you get your podcasts. It helps people find the show.
[19:26] Speaker 4: And thank you for listening. We'll see you tomorrow.

Shows are listed from Apple Podcasts' charts and directory, and Podcast Index where it is used. Every show and episode belongs to its publisher and plays from the publisher's own feed; this site hosts none of them.