A settlement in the Gulf will remove an acute energy premium and will lower the oil price, but will do much less to lower the cost of money.

A settlement in the Gulf will remove an acute energy premium and will lower the oil price, but will do much less to lower the cost of money.

Subsequent events have jerked prices in both directions. Markets were unnerved by the US move to blockade Iran's ports, but subsequently buoyed by a June 17 agreement between the…