Iran conflict's effect on energy is temporary and a "small price," says US energy secretary
Chris Wright, U.S. Energy secretary, told Fox News that the impact of 'the Iran conflict' on energy markets will be temporary. It is a'small price to pay for U.S. Military goals.
The U.S., Israeli and Iranian strikes on Iran have escalated regional tensions. Iran's response has also heightened energy prices. The price of oil rose on Thursday in Asia due to growing concerns over the closure of the Strait of Hormuz.
Wright said on Fox News' "Ingraham Angle", "This is definitely temporary."
We have a world that is incredibly well supplied, with oil in abundance all over the globe, and American production reaching record levels. We'll make it through, this will be just a bump in the road.
U.S. president Donald?Trump pledged to provide naval escorts and insurance for ships exporting from the'region in order to control costs.
Wright stated that the closure of the Strait of Hormuz is a temporary event and that soon the U.S. Navy will be escorting tankers through this waterway, which typically transports about a fifth of daily world oil consumption.
We'll get to it as soon as possible. Wright replied that our navy and military are focused on other issues, including disarming the Iranian regime.
Trump's decision, in which he has attacked Iran, killing its Supreme Leader Ayatollah Ali Khamenei - whose government Trump accuses of developing nuclear weapons - will increase uncertainty for the U.S. Economy.
The U.S. may be more insulated from energy shocks due to its domestic oil and gas production than other developed countries, but the global impact of trade, prices, and investment could undermine the bullish outlook that had been developing for 2026.
"Will we see a temporary increase in gas prices, as we have seen with gasoline? Wright told Fox News that "we do a small amount, but it's a very low price to pay for removing a nation that has killed more American soldiers than any other nation in the past 20 years." (Reporting and editing by Christian Schmollinger; Donna Bryson, Tom Hogue, and Ismail Shakil)
(source: Reuters)
