Physical Oil Prices Rise to 130 Dollars Amid Supply Risks
Physical oil prices hit 130 dollars as supply risks grow. Analysts suggest investors focused on AI may be underestimating the impact on global inflation.
Global investors face a potential doubling of physical oil prices as the closure of the Strait of Hormuz removes 1 billion barrels from supply. Physical crude in Angola and Norway reached $130 per barrel, 70% higher than in February. This price gap suggests markets are underestimating a stagflationary shock that could derail record-high equity valuations.
The United States S&P 500 reached record highs on Thursday despite rising energy costs. Investors remain focused on artificial intelligence earnings rather than the physical energy market. Analysts warn that electronic futures do not reflect the reality of barrels changing hands.
