If the conflict persists for months, oil prices could rise significantly, potentially exceeding 150 dollars a barrel.

“We've estimated that if the disruptions persist for closer to three months, you could see oil well above $150 a barrel, maybe even closer to we estimate around $164.”

She believes that if shipping traffic through the Strait of Hormuz does not resume shortly, the world will face a severe energy crisis with significantly higher oil prices.

“If we do not get traffic moving through the Strait of Hormuz soon, and even at a reduced rate we would be fine, but we have to get some sort of movement going. If we do not see that by the end of next week, I would say we are looking at shortages across Asia and all sorts of other dislocations”

He predicts that if the current cease-fire is not extended, oil prices could rise significantly above current levels.

“I think $120 will be optimistic if it is not extended. When you are waiting for tankers to be unloaded of a physical good, $200 might be cheap if you are desperate for the oil.”