26
Dec
Regional conflicts produce outsized effects on global energy prices because energy markets are tightly interconnected, depend on concentrated geographic infrastructure, and respond quickly to changes in perceived risk. A disruption localized to one country or shipping corridor can propagate through supply chains, trigger speculative and insurance-driven price adjustments, and force demand-side and policy reactions that amplify price movements worldwide.How regional events translate into global price shocksSupply disruption and chokepoints: A significant share of hydrocarbon resources moves through confined transit routes and a limited number of export hubs. When pipelines, ports, or straits face threats, the volumes accessible to global buyers…