AGE Gold Commentary is our regular report analyzing trends in precious metals and rare coins. We monitor domestic and international markets and extrapolate from our 30 years in metals to place current events into a hard asset perspective. View archives.
4/6/2026:Why oil prices have not peaked yet
Source:
The cumulative effects of the global oil supply disruption due to the five-week closure of the Strait of Hormuz have now reached a tipping point. Available supplies in storage and at sea prior to the start of the war against Iran on February 28, which have cushioned the severity of the supply disruption so far, have now been absorbed.
The ongoing supply disruption is now transitioning into a true oil price squeeze, which will cause the price of oil to move sharply higher still. This historic global supply interruption is becoming a structural supply deficit that will take months to repair, even if the Strait of Hormuz opens today. And this assessment does not consider the extensive damage to Persian Gulf energy infrastructure that could take months or even years to repair.
The price transmission of this steadily increasing global supply deficit hit US shores on Thursday April 2, signaling that the oil supply disruption has now reverberated fully around the globe. And contrary to widespread belief, the US is not fully oil independent.
In this AGE Gold Commentary for Monday April 6, we drill down on the global supply and demand dynamics for oil and explain in depth why the price of oil has yet to fully reflect the severity of the global oil supply disruption. We also consider the ramifications for the US economy and precious metals going forward due to this historic oil supply shock, the full effects of which are just now being felt in markets around the world in earnest.
You can also view this video on the AGE YouTube channel, which includes a transcript.
AGE's Gold Commentary
AGE Gold Commentary is our regular report analyzing trends in precious metals and rare coins. We monitor domestic and international markets and extrapolate from our 30 years in metals to place current events into a hard asset perspective. View archives.
4/6/2026: Why oil prices have not peaked yet
Source:
The cumulative effects of the global oil supply disruption due to the five-week closure of the Strait of Hormuz have now reached a tipping point. Available supplies in storage and at sea prior to the start of the war against Iran on February 28, which have cushioned the severity of the supply disruption so far, have now been absorbed.
The ongoing supply disruption is now transitioning into a true oil price squeeze, which will cause the price of oil to move sharply higher still. This historic global supply interruption is becoming a structural supply deficit that will take months to repair, even if the Strait of Hormuz opens today. And this assessment does not consider the extensive damage to Persian Gulf energy infrastructure that could take months or even years to repair.
The price transmission of this steadily increasing global supply deficit hit US shores on Thursday April 2, signaling that the oil supply disruption has now reverberated fully around the globe. And contrary to widespread belief, the US is not fully oil independent.
In this AGE Gold Commentary for Monday April 6, we drill down on the global supply and demand dynamics for oil and explain in depth why the price of oil has yet to fully reflect the severity of the global oil supply disruption. We also consider the ramifications for the US economy and precious metals going forward due to this historic oil supply shock, the full effects of which are just now being felt in markets around the world in earnest.
You can also view this video on the AGE YouTube channel, which includes a transcript.
Sincerely,
Dana Samuelson
President