The Aftermath Of The Iran-Israel Conflict, Gold And World Crude Oil Prices Will Skyrocket Sharply

Illustration of oil refineries (ANTARA)

JAKARTA - Forexindo Berjangka Profit Director Ibrahim Assuaibi said the Iranian attack on Israel had the potential to make the world's gold and crude prices on Tuesday's trading strengthen.

Ibrahim added that he also needed to see whether Israel's infrastructure conditions suffered heavy losses or not, resulting in an increase in oil and gold prices.

According to Ibrahim, based on the current situation, many of the weapons attacks launched by Iran were blocked by Israeli drones and weapons.

Ibrahim said that with high geopolitical tension in the Middle East, gold prices would continue to strengthen.

Ibrahim said the gold price target for now is at the level of 2,350 United States (US) dollars per troy ounce. However, the price of gold can rise even higher by touching the level of 2,400 US dollars per troy ounce.

However, Ibrahim believes the $2,400 per troy ounce level will not be achieved by the end of the year, even though the American central bank is lowering interest rates.

"Around the impact of this high political tension in the Middle East, the price of gold will glide high, especially after Hamas rejects the ceasefire with Israel. It will also make attacks on the preoradics of Arab countries against Israel," he said in a voice message, quoted Monday, April 15.

Ibrahim said that not only will world gold prices increase but world crude oil prices will also rise sharper due to an open war, not to mention there are retaliatory attacks from Israel involving America, Russia, and China.

"This will make oil refineries in the Middle East slightly less in production," said Ibrahim.

Ibrahim said that if that happened, the world's oil supply would decrease and result in prices continuing to rise as demand increases.

Therefore, Ibrahim saw fear that Israel was eyeing oil refineries in Iran. Thus, production needs for the fulfillment of OPEC member states will decline.

"This makes crude oil prices boil and may touch at the level of 100 US dollars per barrel in 2024," said Ibrahim.