US Strikes Iran, Oil Market Sees Bullish Turn Amid Inventory Drain

The United States launched military strikes against Iran on Thursday morning, targeting dozens of Islamic Revolutionary Guard Corps sites. The operation was swift, lasting only two hours and marking an end to a diplomatic pause that had been in place.

The Oman proposal for Hormuz had already been deemed dead, and the missile attack on US forces was seen as the trigger for this military response. The oil market is now directly affected by the conflict between the two countries, with the strait of Hormuz barely functioning due to the heightened tensions.

Domestic crude inventories in the US are rapidly draining at a pace that has caught many off guard, with emergency reserves not seen at such low levels since the early 1980s.