Analysis: Iran War Becomes Battle of Endurance

The conflict's impact on global energy markets is Iran's most potent weapon against the U.S.

Published on Mar. 11, 2026

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The ongoing war between the U.S., Israel, and Iran has devolved into a contest of who can withstand the most economic pain. While Iran faces relentless airstrikes, it has retaliated by disrupting global oil and gas supplies, sending prices soaring and roiling financial markets. Both sides are vowing to continue the fight, but the long-term damage to the world economy may ultimately determine the outcome.

Why it matters

The war's impact on global energy markets is a major vulnerability for the U.S. and its allies, as spiking oil and gas prices have rattled consumers and businesses worldwide. Iran's ability to disrupt critical energy infrastructure in the region gives it significant leverage, even as it faces devastating airstrikes. The conflict's protracted nature and lack of clear resolution raises concerns about its long-term geopolitical and economic fallout.

The details

Iran has backed up its threats to retaliate across the Middle East by launching barrages of missiles and drones that have forced Qatar to halt natural gas production, disrupted oil operations in Bahrain, and severely impacted shipping through the Strait of Hormuz. This has sent oil prices skyrocketing, with U.S. President Donald Trump warning of even harsher retaliation if Iran tries to block the strait. Meanwhile, Iran's leadership remains defiant, with a top official boasting that Iran holds the 'upper hand' due to the war's impact on the global economy.

  • The war between the U.S., Israel, and Iran began on February 28, 2026.
  • In June 2026, the U.S. bombed three Iranian nuclear sites during a 12-day conflict between Israel and Iran.

The players

Donald Trump

The President of the United States, who has threatened harsh retaliation against Iran if it tries to block the Strait of Hormuz.

Mojtaba Khamenei

The 56-year-old son of the late Supreme Leader Ayatollah Ali Khamenei, who was elevated to the position of Iran's ultimate ruler after his father's death at the start of the war.

Kazem Gharibabadi

An Iranian Foreign Ministry official who boasted that Iran holds the 'upper hand' in the war due to its impact on the global economy.

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What they’re saying

“We've already won in many ways, but we haven't won enough. We go forward, more determined than ever to achieve ultimate victory that will end this long running danger once and for all.”

— Donald Trump (Truth Social)

“At the moment, we hold the upper hand. Just look at the state of the global economy and energy markets — it has been very painful for them.”

— Kazem Gharibabadi, Iranian Foreign Ministry official (Iranian state television)

What’s next

If Iran stops oil from flowing through the Strait of Hormuz, Trump has threatened that the U.S. will retaliate 'TWENTY TIMES HARDER' against Iran.

The takeaway

The protracted Iran war has become a battle of economic endurance, with both sides inflicting significant damage on global energy markets and the wider economy. The outcome may ultimately hinge on which side can withstand the most pain, raising concerns about the long-term geopolitical and economic fallout of the conflict.