Jiang Zhuoer Says Rising Oil Prices Pose Major Risk

Jiang Zhuoer said on X that the market is ignoring a major "gray rhino" risk: continued increases in international oil prices. According to Odaily, he said Brent crude has rebounded to around $95 and that oil prices are likely to rise further amid the current standoff between the United States and Iran over the Strait of Hormuz. He said that if transportation through the Strait of Hormuz remains disrupted, it would have a catastrophic impact on the global economy. He also said global commercial and government crude reserves have been heavily drawn down, and that total U.S. crude inventories, including commercial stockpiles and the Strategic Petroleum Reserve, have fallen to their lowest level since 1984. He added that if international oil prices rise back above $100, market sentiment may deteriorate quickly.