Oil Breaks $100—and This Rally Has Legs
For months, crude oil prices have been constrained by reports of improving tanker traffic in the Strait of Hormuz. Even after the June ceasefire between Iran and the United States collapsed, tankers moving in and out of Hormuz have been moving at rates higher than in the spring. This has now changed
Source: OilPrice.com
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DW NOTE
The Strait of Hormuz has been effectively closed since early September, and Iran blocked it outright from February through June. Brent is at $100.84 because 17 million barrels per day aren't moving — not because of fundamentals that suggest durability. A rally built on a supply shock ends the day the choke point reopens.