Oil Shipments Through Strait of Hormuz Rise Amid Escalating Middle East Conflict
US Energy Secretary Chris Wright stated that oil shipments through the Strait of Hormuz are increasing. The seven-day moving average of such shipments, which includes those escorted by the US Navy, is rising and will continue to do so.
The peak volume of oil transported in one day was 17 million barrels, but it actually reached almost exactly 18 million when a single ship's cargo was accounted for, Wright noted.
Oil prices are continuing to rise due to the growing conflict in the Middle East. Brent North Sea crude for November delivery rose by 3.58% to $104.83 per barrel, while U.S. West Texas Intermediate (WTI) crude for October delivery increased by 3.66% to $99.57 per barrel.
The escalating conflict is a major driver of the price increase, with the Iran-backed Houthis announcing their control over the Yemeni city of Moha on the Red Sea and pushing towards the Bab el-Mandeb Strait. This strategic location connects Asia and Europe via the Red Sea and has become crucial for oil trade since the start of the Middle East war.