See the biggest driver right now is geopolitics. Over the past several days the conflict involving Iran has intensified and that has created massive disruptions in the global energy market. Some oil production sites have even been damaged. Tanker traffic has slowed and shipping through the Strait of Hormuz has been threatened. That narrow waterway is extremely important to the world economy. Roughly 20% of the world’s oil normally flows through that single choke point between Iran and Oman. When shipping there becomes uncertain the entire energy market reacts immediately. And talking about energy markets many people are bummed that they miss this move.

But like I teach my students in my NINJA 9 program when you are in all of these different markets you can take advantage and start pulling profits like a lot of people are doing right now as the price of oil surges. If you want to learn about that investment program I’ll put a link down below. Now news outlets across the world are reporting that the conflict has already forced producers in the region to reduce shipments which has taken millions of barrels of oil per day off of the global market and when supply suddenly disappears prices move very quickly.

Some benchmarks for crude oil have already climbed above the $100 like I said and just now spiking well past it with analysts warning that the move could continue if the situation worsens. Several major financial institutions are now weighing in on this situation. Goldman Sachs recently warned that oil prices could remain above the $100 level if shipping disruptions through the Strait of Hormuz continue for an extended period. Other analysts say that the market is now adding what they call a geopolitical risk premium to oil prices. In other words traders are pricing in the possibility that supply could fall even further and this is important because oil affects almost everything in the global economy this is very important.

See when energy prices rise transportation becomes more expensive shipping costs go up so many other things go up like airlines facing higher fuel bills manufacturing costs start to increase and eventually those higher costs filter into consumer prices. Economists are already warning that if oil remains above $100 for a sustained period it could push inflation higher around the world in slow economic growth markets are reacting to that possibility right now as we speak. Some global stock indexes have already started to pull back as investors worry about the economic impact of rising energy costs and at the same time energy companies are seeing strong gains because higher oil prices can dramatically increase profits for the producers.

Another interesting point that analysts are discussing is the current price spike may not actually be driven by demand of course not. In fact some forecasts earlier this year expected oil to stay closer to $60 per barrel because supply was projected to exceed demand and the economy is slowing down unemployment is rising people have less money because of inflation that we’ve had for years to spend money going on vacations and things like that. You see this surge is being driven primarily because of the global disruption of the Iran-US war. This is going to get more serious and you have to remember that we are coming into the springtime where seasonally the price of oil rises already.

Get ready for tighter issues. Now this presents an incredible opportunity for most people and if you’re ready for it you can go and crush it. That’s why I put together the Ninja Nine. I highly suggest people take a look at it. I’ll put a link below. You will go from losing or being late to situations like this and I did many videos calling for $150 barrels of oil years ago two three years ago and you could even search the channel and and put $150 oil economic ninja and you’ll see those videos.

We are now here. This is going to get real and it’s going to be really exciting for those that were prepared with cash on the side. Watch what happens to the stock market in the coming weeks if oil stays above $100. It’s going to get really nutty because companies are going to start freaking out that based off of contracts they made last year they won’t be able to fulfill them because of rising crazy gas prices, diesel prices, and so much more in the coming months. I hope you’re ready. This is what we’ve been waiting for.

The Economic Ninja is out. [tr:trw].

See more of The Economic Ninja on their Public Channel and the MPN The Economic Ninja channel.