"Even if the fighting spreads beyond Israel and the Palestinian territories, it is unlikely to result in a prolonged oil price spike" they predicted. "There are tangible signs that high oil prices amplified by surging borrowing costs and depreciating EM currencies began to erode fuel consumption." In addition, oil prices rarely experienced long-term turmoil during most of Israel's past conflicts, JPMorgan said. "Eventually, oil prices tended to gradually stabilize and decline, resulting in Brent actually trading at a discount to its fundamentally-derived fair value. Only the 1973 Yom Kippur war saw longer lasting impacts, given that it led to a Saudi oil embargo against the US.

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Persons: —, Brent, JPMorgan doesn't, haven't Organizations: JPMorgan, Service, UAE haven't Locations: Israel, Taiwan, Thailand, Japan, South Korea, Pakistan, Bangladesh, Sri Lanka, 4Q23, Iran, Saudi Arabia, UAE, Saudi, Northern Iraq