Iran's attacks in the Gulf disrupt global oil shipments and major projects

Iran has launched attacks on shipping and energy infrastructure in the Persian Gulf, including hitting an American oil tanker and setting vessels ablaze. The country has also vowed to block all Gulf oil shipments and threatened to close the Strait of Hormuz, a critical chokepoint for global oil transit.

These actions are creating what analysts call the largest oil shock in history, disrupting a region responsible for a significant portion of the world's oil and gas. The conflict has stalled major regional projects, including a massive undersea internet cable project by Meta, and jeopardizes an estimated $300 billion in planned Gulf spending on artificial intelligence and other investments. The war is also rattling Asian investors in Gulf property and stocks.

The ongoing hostilities have raised urgent questions about how long Gulf nations can continue pumping oil and have laid bare the world's heavy reliance on energy from the region. Financial firms like Swiss money managers are anticipating shifts in capital flows as a result of the instability.