Middle East crisis: Oil prices could hit $140 in 2024 

The Head of Economic Research at Allianz Trade, Ana Boata, has warned that oil prices could hit $140 per barrel by 2024 if the Middle East conflict persists.

When speaking to Bloomberg Television, Ana noted that if the ongoing conflict between Israel and Hamas spirals into a regional conflict, it would lead to the shutdown of crude oil supplies.

Speaking to Bloomberg TV’s Kripti Gupta, she noted that higher oil prices would be the direct impact of the continued conflict.

Boata further noted that the scenario could grind the global economy to a standstill, with growth slowing to around 2%, edging close to the mark that suggests economic contraction. She also spoke on the possible effect on the global financial market.

Since the announcement of oil production cuts by Saudi Arabia and Russia in September, oil prices have experienced a surge, as oil demand trends remained strong.

Towards the end of September, Brent Crude was trading for $94 per barrel, however, it began to slide down at the start of October.

As tensions began to escalate in the Middle East, oil prices began an upward swing, with Brent Crude trading in the $93 region, the highest since September 27.