This Isn’t an Energy Crisis — at Least Not Yet |
Warning: This writer may, very soon, eat humble pie. Still, I believe we need a bit of nuance around the term "energy crisis." Bottom line: We’re using it too loosely. The American attack on Iran is bad news for the global economy, but I don’t anticipate that it will spark a 2022-style inflation shock.
Looking at the energy market with a wide-angle lens, I don’t see anything remotely approaching the pain of 2021-22, when the energy crisis label was appropriate for Europe. There’s nothing matching the contours of the 1990-91 shock, let alone the 1973-74 and 1979 crises.