As American drivers pay more for gas and oil prices continue to climb, even the oil companies experiencing a revenue bump from President Donald Trump’s continuing war with Iran are on edge.
For the fossil fuel industry, disruption like Iran’s blockade on oil and gas exports through the Strait of Hormuz can be like a dangerous narcotic. Higher oil prices translate into a heady rush of new profit. But a painful reckoning can follow if prices stay elevated, as consumers and businesses cut energy use, economies slide toward recession and policymakers press for interventions on the industry.
