BlackRock CEO Warns of Recession if Oil Hits $150 Amid Iran War

BlackRock CEO Larry Fink has warned that the ongoing war in Iran could trigger a global recession if oil prices surge to $150 per barrel. In a BBC interview published Wednesday, Fink outlined two potential scenarios: one where Iran reintegrates into the global community, leading to lower oil prices, and another where prolonged conflict drives prices to historic highs. Fink emphasized that the outcome remains uncertain, with oil prices potentially ranging from $40 to $150 a barrel within a year. The conflict has already disrupted shipping in the Strait of Hormuz, a critical energy transit route, causing delays and increased insurance costs for vessels. Fink described Iran as a persistent threat to trade and regional stability, warning that sustained high oil prices could have profound economic consequences, including a steep recession. Meanwhile, recent talks between the U.S. and Iran have temporarily eased prices, but Brent crude remains elevated at $94 per barrel. Economists and analysts, including those from Deutsche Bank and the International Energy Agency, have highlighted the risks of prolonged conflict and supply disruptions, which could lead to stagflation and long-term economic damage.