A direct conflict between the U.S. and Russia would spook the oil markets... And oil prices would likely go through the roof. Even if Russia and the U.S. don’t go toe to toe, a regional war would still cause a surge in the price of oil.
Iran, Syria, or someone else could attack Israel .
As you can see from the following map, Israel is located within striking distance of Iran. Radical Islamist terrorist group Hezbollah has 100,000 short-range missiles and rockets in nearby Lebanon. And jihadist militant group ISIS is close by in Iraq and Syria. Any attack on Israel would ultimately draw in the U.S., which remains a staunch ally of the country. Russia is involved in Syria and is an ally of Iran. A regional conflict could cause another world war. Middle East oil supplies would instantly be threatened, and prices would rocket higher.
These are just a few of the scenarios that could send oil prices screaming higher. And as you look at investing your money in the oil and gas sector, you need keep in mind that geopolitical risks have historically moved oil prices higher.
Today is no different. It will happen again .
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