Daniel Yergin

Well, I did think that there was a difference between how the financial markets, which were processing things like statements by the president, statements from Iran and so forth, looking at the future and the way the physical market, the industry market.

And at Sierra Week, I remember one of the CEOs said in one of the dialogues that risk has been underpriced in the market because I think from the industry point of view, they saw the

There are major dislocations, and those dislocations are playing out unevenly across the world.

Asia hit the hardest, Europe feeling it, and then the U.S.

mainly seeing it in terms of rising prices at the gasoline pump, but no problem getting supplies.

But in Asia, a big problem getting supplies.

I think in terms of actual participants in the market, particularly the CEOs of the companies on the interviews that I did on stage, platform, they were all feeling that there was a real dislocation, a real scramble.

They'd worried about getting their employees to safety, worried about the safety of their colleagues, their facilities, and then just how these markets are going to be supplied and what would be the demand destruction, what would happen to price.

So they were very concerned with the logistics of

you know, of having lost the biggest supply of oil that had ever happened in history.

And by the way, it was not oil, but also natural gas, which people have focused on, because I think there was less awareness of how significant it was in terms of LNG.

And then I think the eye-opener that maybe all these scenarios that people had been doing for the years about the closure of the Strait of Hormuz

People had not thought about fertilizer.

They had not thought about petrochemicals.

They had not thought about sulfur.

They had not thought about helium, which the semiconductor industry in Taiwan desperately needs.

And so actually, one of the other things that came out of this was the recognition of how the Gulf countries, Saudi Arabia, had become much more integrated into the world economy.

And by the way, there were also exporters of one other extremely valuable commodity called money with the size of their reserves.

Well, yeah, well, I think it is because the futures price is responding to so many forces there.

And people investing in futures, a lot of them, they don't have to worry about supplying a customer.