Brent crude hits $96 per barrel as prolonged Iran conflict keeps energy prices elevated, risking stagflation for Asian economies.
Chicago Federal Reserve President Austan Goolsbee stated energy inflation linked to the Iran conflict has lasted longer than anticipated, pressuring Asian economies with a stagflationary shock. Futures markets had projected significantly lower prices than current levels, which remain above pre-war benchmarks.
Brent crude futures rose 1.81% to $96 per barrel, while West Texas Intermediate gained 1.71% to $90.21. Before U.S. and Israel launched strikes on Iran, Brent traded at $72 and WTI at $67.02. Recent easing follows progress in U.S.-Iran peace talks, though prices remain elevated.
Goolsbee highlighted risks for energy-importing Asian economies, describing the situation as an “old-fashioned” stagflationary shock. The Fed official’s remarks underscore persistent inflationary pressures despite geopolitical de-escalation efforts.