Goldman Sachs: Even if War Ends Tomorrow, Crisis Won't! Global Economy Faces Major Shock

• Goldman Sachs report warns that the global economic crisis will persist even if the Iran-America-Israel conflict ends, citing the biggest energy shock in history.
• The conflict has caused an unprecedented 17.6 million barrels per day drop in oil supply from the Persian Gulf, about 17% of global supply, primarily due to disruptions at the Strait of Hormuz.
• Iran views the war as an existential battle, employing strategies like drone attacks and naval pressure to prolong it, while America seeks control of the Strait of Hormuz to declare victory.
• The report highlights that for every 10% oil price increase, global GDP declines, and inflation rises, impacting food, transport, and electricity costs.
• Markets currently see an inflationary shock, but the real danger is a growth slowdown; even post-war, normalizing oil supply will take time due to shipping risks and high insurance.