I closely follow the shipping and commodities markets and its clear that most of the flow has been replaced. Traffic directly through the strait is about half the pre-war level. Other flows have been replaced with pipelines, particularly a Saudi Arabian pipeline to the Red Sea.
If 20% of worldwide oil flows went offline, we truly would have $250/barrel oil.
Fortunately, that never happened and that's why we $85/barrel oil.
Diesel is a separate issue, and is troubling, but is an example of moving the goalposts. Everyone who says that Iran "closed the strait" was wrong about oil prices. They never closed the strait.
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I closely follow the shipping and commodities markets and its clear that most of the flow has been replaced. Traffic directly through the strait is about half the pre-war level. Other flows have been replaced with pipelines, particularly a Saudi Arabian pipeline to the Red Sea.
If 20% of worldwide oil flows went offline, we truly would have $250/barrel oil.
Fortunately, that never happened and that's why we $85/barrel oil.
Diesel is a separate issue, and is troubling, but is an example of moving the goalposts. Everyone who says that Iran "closed the strait" was wrong about oil prices. They never closed the strait.
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