China's Oil Stockpiles Stabilize Global Markets Amid US-Iran Conflict

When President Trump launched his war against Iran in February, energy analysts predicted that oil prices could more than double due to the conflict.

However, six months into the war, the most dire projections have not come to pass. Chinese President Xi Jinping's country has been credited with helping to stabilize global oil markets by drawing from its massive strategic reserve.

China's stockpile of over 1.4 billion barrels allowed it to reduce crude imports after the US and Israel began their bombardment, effectively closing the Strait of Hormuz. This reduced global demand, easing price increases for countries like the US and Europe.