Thursday, August 29, 2013

Will War With Syria Cause The Price Of Oil To Explode Higher?

Michael Snyder
Economic Collapse
August 29, 2013

Are you ready to pay four, five or possibly even six dollars for a gallon of gasoline?

Credit: Flcelloguy via Wikimedia CommonsWar has consequences, and a conflict with Syria has the potential to escalate wildly out of control very rapidly. 

The Obama administration is pledging that the upcoming attack on Syria will be “brief and limited” and that the steady flow of oil out of the Middle East will not be interrupted. 

But what happens if Syria strikes back? 

What happens if Syrian missiles start raining down on Tel Aviv? 

What happens if Hezbollah or Iran starts attacking U.S. or Israeli targets? 

Unless Syria, Hezbollah and Iran all stand down and refuse to fight back, we could very easily be looking at a major regional war in the Middle East, and that could cause the price of oil to explode higher. 

Syria is not a major oil producer, but approximately a third of all of the crude oil in the world is produced in the Middle East. 

If the Suez Canal or the Persian Gulf (or both) get shut down for an extended period of time, the consequences would be dramatic. 

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