U.S. Oil Supplies Plummet to 45-Year Low Amid Iran Conflict

U.S. crude oil supplies have reached a 45-year low due to ongoing tensions in the Strait of Hormuz, which has led to a drawdown on strategic reserves.

The level of the U.S. Strategic Petroleum Reserve is at its lowest since 1983, leaving the country with only 43 days of crude oil supply, according to Bank of America Global Research data.

President Trump has released oil from the reserves to combat rising energy costs, but experts warn that relying on strategic reserves can be a short-term solution.

The Iran war has caused significant instability in global energy markets, with crude oil prices surging nearly 5 percent on July 8. Brent crude rose 5.2 percent to $78.02 a barrel, while West Texas Intermediate (WTI) crude climbed 4.4 percent to $73.52 a barrel.