Article details
The article analyzes the potential economic impacts of the recent US-Israel-Iran conflict on Australia and New Zealand using Oxford Economics' global model. Three scenarios are evaluated based on the duration and escalation of the conflict, which has already disrupted Persian Gulf shipping and driven oil prices higher. The analysis highlights uncertainty in growth and inflation outcomes, with oil price volatility being a key driver. For markets, the conflict poses risks to global energy security and could trigger broader geopolitical tensions. Traders should monitor oil price movements, regional shipping disruptions, and central bank responses to inflationary pressures. The situation remains fluid, and any escalation could amplify market volatility in energy-linked assets and equities.
