Europe is rapidly running out of aviation fuel as the conflict in the Middle East continues to choke global supply lines.
Fatih Birol, the Executive Director of the International Energy Agency (IEA), warned on Thursday that the continent has "maybe six weeks or so" of jet fuel remaining.
In a wide-ranging interview with the Associated Press , Birol cautioned that passengers could see flights canceled "soon" if oil shipments remain blocked.
Birol described the situation as the most significant energy crisis in history, stemming from the closure of the Strait of Hormuz .
“In the past there was a group called ‘Dire Straits.’ It’s a dire strait now, and it is going to have major implications for the global economy,”he remarked.
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A long road to recovery
The pinch-off of supplies has driven up costs for gasoline and electricity globally.
Birol revealed that more than 80 key energy assets in the region have been hit during the conflict, with over one-third suffering severe damage.
Even if a peace settlement is reached, Birol warns it will take "up to two years to come back where we were before the war."
Currently, over 110 oil tankers and 15 liquefied natural gas carriers are trapped in the Persian Gulf .
Birol also criticized Iran’s "toll booth" system for ships, warning it sets a dangerous precedent that could threaten other vital waterways like the Malacca Strait.
Related: Trump blockade order sends global oil prices above $100
Markets rally on peace hopes
Despite the physical energy squeeze, financial markets are reacting to signs of diplomacy.
On Wednesday, the S&P 500 closed above 7,000 and the Nasdaq finished above 24,000 for the first time. Although both indexes slid slightly on Thursday morning, they remain on pace for strong weekly gains.
This optimism follows a Fox Business interview where President Donald Trump stated the Iran war is “very close to over,” claiming Tehran wants to “make a deal very badly.”
Stocks have rallied as the S&P 500 wiped out all its wartime losses and the Nasdaq achieved an 11-day winning streak.
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Crypto and oil performance
The cryptocurrency market has remained resilient. Buoyed by geopolitical tension and progress on the CLARITY Act , Bitcoin held its gains on Thursday, trading around $74,063 at press time.
This follows a four-week high near $76,000 reached earlier in the week. Meanwhile, Ethereum traded near $2,311.
In the energy markets, oil prices moved higher on Thursday morning. West Texas Intermediate rose to $92.07 per barrel, while the international benchmark Brent crude climbed to $95.81.
While investors are betting on a "V-shaped" recovery through peace talks, the IEA remains focused on the immediate six-week countdown for Europe's fuel supplies.
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This story was originally published by TheStreet on Apr 16, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
