Hormuz Tanker Traffic Plummets Amid Escalating US-Iran Tensions
Traffic through the Strait of Hormuz has dwindled significantly as tensions between the US and Iran continue to escalate. According to data from Kpler, cited by Reuters, only five tankers crossed the waterway on Wednesday and nine crossings on Thursday, down from a monthly average of 12.
The traffic via the Bab el-Mandeb strait in the Red Sea was much higher, with 19 commodity carriers passing through the waterway on Thursday. Defense Secretary Pete Hegseth warned that the US Navy will maintain its blockade indefinitely and continue to add more sanctions to choke Iran's economy.
Oil prices did not reflect the growing tensions, however, as traders focused on the news of US commercial inventories adding over 17.4 million barrels last week. Global inventories are depleting, including those from massive releases from the strategic stockpile, while China has resumed buying more crude.