US Crude Oil Supplies Plummet to 45-Year Low Amid Iran Conflict
US crude oil supplies have hit a 45-year low due to the ongoing conflict with Iran, according to Bank of America Global Research data. The Strategic Petroleum Reserve is at its lowest level since 1983, leaving the country with only 43 days of crude oil supply.
The Trump administration has been releasing oil from the reserves to combat rising energy costs sparked by the closure of the Strait of Hormuz. President Trump committed to a domestic drawdown of 172 million barrels over a 120-day delivery window.
Despite this, crude oil prices surged nearly 5 percent on July 8, with Brent crude rising 5.2 percent and West Texas Intermediate (WTI) crude climbing 4.4 percent. South Korea, Thailand, Vietnam, and Bangladesh have implemented emergency energy rationing policies to cope with the fallout.
The US has not done much to adapt to the fluctuating oil market, with Trump remaining optimistic about prices returning to normal once the war ends.