Oil markets nearing ‘red zone’ as holiday season nears, warns IEA chief

Surging demand, low reserves and reduced Middle East exports predicted to cause global crunch by August

Oil markets will enter “red zone” by July and August as stocks dwindle before the summer travel season amid a shortage of fresh oil exports from the Middle East, the executive director of the International Energy Authority warned on Thursday.

Fatih Birol added that the most important solution to the Iran war energy shock was a full and unconditional reopening of the strait of Hormuz.