War With Iran Hits 6 Months: Khamenei Dead, Hormuz Shut, and Oil Prices Still Reeling
Global markets remain on edge as the US-Israel military campaign against Iran enters its sixth month, with the killing of Supreme Leader Ali Khamenei, the closure of the Strait of Hormuz, and oil prices still swinging wildly [229317][229504]. The conflict has redrawn the energy map, pushing crude to multi-year highs before a recent cool-down, while stocks remain split between booming energy firms and struggling manufacturers [229317].
The war, which began on 28 February 2026, has cut off a waterway carrying about 20% of the world’s oil, sending freight rates to record highs [229504][228024]. Although Iran and Oman are in talks to reopen the strait, shipping costs have not eased, and insurers still charge high premiums for vessels entering the region [228024]. Oil prices have dropped in recent days as traders bet on economic pressure over military force, but analysts warn that any sudden escalation could quickly reverse the calm [228599][227314].
In Europe, shares closed flat as investors weighed fresh uncertainty over US sanctions on Iran, with energy and technology stocks slipping while travel and mining gained [226564]. The Philippine central bank raised its key interest rate on Thursday to fight inflation fueled by rising energy prices, marking the first rate adjustment in months [229170].
Meanwhile, Federal Reserve Chairman Kevin Warsh faces a market test at the Jackson Hole symposium, where investors want clear guidance on inflation, interest rates, and the bond market [229325]. A vague speech could increase volatility, traders warn [229325].
On the ground in Iran, six months of conflict have pushed ordinary citizens to the brink, with soaring prices, scarce jobs, and a currency losing value [229316]. Many Iranians question whether Washington’s pressure campaign is meant to help them or weaken their nation further [229316].
---