Energy shock triggers global instability

Global markets are reacting with skepticism to the fragile U.S.-Iran truce as marine traffic through the world's most important energy chokepoint remains at a standstill.

Analysts warn that even if the waterway reopens immediately, it could take months for energy infrastructure to recover from the damage inflicted during the 40-day war.

In the United Kingdom and Australia, diesel prices have hit historic highs, prompting widespread protests and forcing transportation sectors to seek emergency government underwriting.

Meanwhile, major economies in Asia and Europe are facing a 'stagflationary shock,' with the World Bank and IMF warning that the persistent energy crisis could trigger a global recession if supply chains are not restored within the coming weeks.