IEA warns Iran conflict could cause severe global energy crisis

The head of the International Energy Agency (IEA) says a war involving Iran would pose a 'major, major threat' to the global economy. He warned the resulting energy crisis could be worse than the oil shocks of the 1970s and the fallout from the war in Ukraine combined, largely due to potential disruptions in the Strait of Hormuz, a critical oil shipping route.

Indian Prime Minister Narendra Modi called the situation 'worrisome' and highlighted the impact of such a disruption. Meanwhile, President Donald Trump has threatened military action against Iran's energy assets and power grid, though experts question the feasibility of such strikes. Financial markets, like Tokyo stocks, have reacted negatively to the heightened tensions.