As Hormuz chokes and defence costs soar, Gulf states absorb crippling financial fallout of the US-Israel war on Iran.

Iran is raising the costs of a continued war, for the US and Gulf nations. But could it — and the US — escalate further?

Countries around the world are feeling the impact of the conflict and the resulting energy price shock.

As Hormuz chokes and defence costs soar, Gulf states absorb crippling financial fallout of the US-Israel war on Iran.

Although the six Gulf countries have diversified their economies, hydrocarbons still account for about 30% of their gross domestic product (GDP). The blockade of the Strait of…