Dollar surges as Middle East war sends oil above $110 a barrel

https://www.reuters.com/world/asia-pacific/dollar-surges-us-iran-war-pushes-oil-past-100-barrel-2026-03-08/

35 Comments

  1. Ya know, I read something about 10 days ago, before Trump started his ego trip attack on Iran and it was estimated that oil would top $150/barrel before the mess was over. Now I wouldn’t be the least bit surprised if oil hits $200/barrel.

  2. Well_Socialized on

    Kind of disgusting how despite the US starting this conflict we are also relatively shielded from its effects and are seeing investment flee to the safety of US assets.

  3. The US is a net exporter of oil and gas. Higher energy prices are going to drive up the US dollar relative to all other major economies. This war and the war in Venezuela seem designed to help energy companies.

  4. justanormalchat on

    Mission accomplished, Trump fulfilling his obligations to the oil cartel.

  5. ricardocaliente on

    This isn’t one of his tariffs he can walk back either… There’s no “oops, nevermind” that can fix this. The market is finally going to reflect the chaos we’ve all been enduring for a year.

  6. Pleasant_Arugula7571 on

    The dollar surge follows classic petrodollar mechanics. In 1973-74, the DXY climbed roughly 15% as Gulf exporters recycled oil revenues into US Treasuries, and safe-haven flows compound that in a war scenario.

    The part worth watching now: Gulf SWFs collectively hold around $3.8T in assets, and there have been quiet signals of reallocation away from US dollar positions. If even a fraction shifts, the dollar-oil correlation breaks.

    Also worth knowing for pump prices: most Gulf crude is sour and heavy grade. Japan and Korea can release their SPRs but lose 20-30% on a refined-product equivalent basis because their refineries are not set up for the grade substitutes. Pump prices tend to overshoot the barrel number.

  7. Pleasant_Arugula7571 on

    The dollar surge follows classic petrodollar mechanics. In 1973-74, the DXY climbed roughly 15% as Gulf exporters recycled oil revenues into US Treasuries, and safe-haven flows compound that in a war scenario.

    The part worth watching now: Gulf SWFs collectively hold around $3.8T in assets, and there have been quiet signals of reallocation away from US dollar positions. If even a fraction shifts, the dollar-oil correlation breaks.

    Also worth knowing for pump prices: most Gulf crude is sour and heavy grade. Japan and Korea can release their SPRs but lose 20-30% on a refined-product equivalent basis because their refineries are not set up for the grade substitutes. Pump prices tend to overshoot the barrel number.

  8. The true reason for this war never had anything to do with nuclear capabilities. It’s always been about political cache and money. Trump’s people are telling him he’s wildly unpopular and is gunna drag down the entire Republican card as they schism between Trump loyalists and more moderate conservatives. He thinks that somehow we will all unite behind this “common enemy”, but all it’s done is divide everyone further. But hey, at least the rich are getting richer, right?

  9. I filled my tank today at $3.19 per gallon in Dallas, last week it was $2.50. Probably $4 this week.

  10. Well… This escalated fast… z.z

    I think we might actually be majorly fucked this time…

  11. Throwaway112421067 on

    So this is just going to make it more difficult for farmers that export, since a stronger dollar makes our exports more expensive. (Someone correct me if I’m missing nuance.)

  12. ClassicHando on

    Too bad my dollar means significantly less at the gas pump on a 2-3x a day basis (how often my local gas station changes prices)

  13. GregtasticYT on

    Idc what your politics are or who you voted for trump ain’t do shit to make my life more affordable. Literally everything I spend money on is more expensive and not by a minimal amount.

  14. ChoiceHour5641 on

    Just in time for the switch to “Summer blend” and the peak travel season. So many lives affected to distract everyone from finding out the really fucked up shit by really horrible people in the Trumpstein files.

  15. idiom_exon_0s on

    And in a weeks time Trump will move on to another pump and dump, and oil prices will normalize.

  16. philodendrin on

    We are ALL going to pay for this. Every week for years. $.50+ per gallon, 16 gallon tank, I fill-up every week and a half, thats $272 more I’m going to have to pay that I wouldn’t have if he had just decided not to attack Iran. Every grocery item, every package, anything that moves by rail or truck is going to go up in cost.

    I’m glad the dollar will be worth more because we are going to need them to pay for the added costs and inflation that goes with higher Oil prices.

  17. poop-fungus50 on

    So how much more is gas supposed to rise? Was 2.74 in Ohio a week ago and now it’s 3.49.

  18. RYSEofCthulhu on

    Now is the *perfect* time to dump all US bonds and move to a new reserve currency. Just saying.

  19. MarkMariachiAZ on

    Imagine if we had price caps for consumers. If production costs exceed it then they front those costs instead of paying themselves billions. They would really be trying to avoid wars then.

  20. Trump is making Russian oil great again. Seriously, what can countries such as Japan do now other than call to Putin and beg for some oil?