# [7D] Sustained energy shock pushes Brent into $105–$120 range with heightened volatility; European equities underperform

*Issued Tuesday, May 12, 2026 at 3:35 PM UTC — Hamer Intelligence Services Desk*

**Issued**: 2026-05-12T15:35:05.195Z (3h ago)
**Expires**: 2026-05-19T15:35:05.195Z (7d from now)
**Category**: ECONOMIC | **Confidence**: 65% | **Impact**: CRITICAL
**Risk Direction**: volatile
**Affected Regions**: Global markets, Europe, Middle East, Asia (energy importers)
**Affected Assets**: Brent and WTI crude, European equity indices (e.g., DAX, Euro Stoxx 50), Gold, US Treasuries, Euro/USD exchange rate, Shipping and tanker equities
**Permalink**: https://hamerintel.com/data/forecasts/9294.md
**Source**: https://hamerintel.com/forecasts

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## Prediction

Over the next 7 days, continued Hormuz disruption, US naval interdictions, and Iranian legal maneuvers are likely to keep Brent in a broad $105–$120 range, with frequent sharp intraday swings. European equity indices, particularly energy-intensive and export-oriented sectors, will underperform US benchmarks as higher input costs and supply chain disruptions weigh on earnings expectations. Safe-haven flows will support gold and US Treasuries, while the euro will face pressure against the dollar. Energy equities and tanker firms will see relative outperformance but with high volatility.

## Drivers

- Current Brent level above $107 and evidence of maritime blockade tightening
- EU companies reporting supply chain disruptions from the US–Israeli war on Iran
- Emerging trend of global energy shock and sanctions realignment
- Iran and Oman tightening legal control over Hormuz increasing perceived duration of disruption