Bloomberg Surveillance · Monday, July 20, 2026
The ongoing conflict in the Middle East, marked by escalating military actions, is raising concerns about potential increases in gas prices and the timing of US political responses. The lack of timely legislative action on Pentagon funding and potential stimulus measures could be influenced by the conflict's duration and its impact on energy markets.
“I think that we are on day nine of what will be a pretty expansive protracted engagement on the military front. I am discomforted. I guess is the word to use by the frequency with which I hear administration officials and those in the tertiary military space talk about boots on the ground, carg Island escalating militarily.”
“So as we're way out into September and even October and heading into the election, there's going to be option now for a stimulus bill, for some funding for the Pentagon, maybe a gas tax holiday. Those are options that exist, but not for months.”
“So as long as they want to get out of town, they won't be doing anything.”