There has been an escalation in the Middle East crisis.
David Asher, a senior fellow at Hudson Institute and former investigator into Covid origins at the State Department, recently penned a note titled "Navigating the New World Disorder: Economic Faultlines, Fissures, Fractures, and Failures." In this note, Asher points to a world that is in crisis, similar to the 1920s/30s.
On slide three, the macro strategist labels five "Looming supply shocks" for the global economy.
He asks: "Is this the end of the long economic growth cycle that has existed since 1947 or"just" a return to the 1970s?" While China's economy struggles to recover, Asher asks another question: "Is Global Trade Recovering or Not?" On slide nine, given the mounting risks in the Middle East.
He said: "Global oil shock could trigger a crisis ala 2007-2008." He described a series of events that paint an awful gloomy outlook for the Middle East that have significant consequences for global markets.
Could Tehran use oil as an economic weapon against the West? Consider the economic impacts of previous oil shocks... This is where readers need to pay attention: Imagine the scenario where Yemen's Houthi rebels start targeting key oil facilities in Saudi Arabia.
A perfect storm of higher crude prices is brewing... All eyes on the Middle East.
https://www.zerohedge.com/geopolitical/weaponization-crude-could-trigger-next-financial-shock
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