Slugcatcher on forecasts of a meteoric oil price rise

IT sounds exaggerated but speculation about an oil-price super-spike above US$150 a barrel might not be far off the mark as Slugcatcher listens to the sound of gunboats warming their engines on the Iranian side of the Straits of Hormuz.

Slugcatcher on forecasts of a meteoric oil price rise Slugcatcher on forecasts of a meteoric oil price rise Slugcatcher on forecasts of a meteoric oil price rise Slugcatcher on forecasts of a meteoric oil price rise Slugcatcher on forecasts of a meteoric oil price rise

Banks suggest tensions, low reserves and early shareholder returns may drive price high 

Not since the 1970s has the world's most important trade route looked so exposed to a military clash as Iran reacts aggressively to the reimposition of US sanctions which are crimping its oil exports and threaten to drive the country back into economic isolation.
 
For younger readers who did not live through the oil export embargoes which followed wars in the Middle East, or older readers who have forgotten their school geography lessons, the Straits of Hormuz are at the eastern end of the Persian Gulf, forming a pinch-point where a wrong turn could send an oil tanker from Kuwait or another Gulf State into hostile Iranian waters.
 
Fresh threats from Iran to block the Straits and cripple the flow of shipping are being taken...