Two Wars Put Stranglehold on Global Energy Supplies - WSJ
Two Wars Put Stranglehold on Global Energy Supplies - WSJ
Source: WSJ
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DW NOTE
The Strait of Hormuz has been effectively closed since February 27 — the late-June ceasefire was supposed to reopen it, but only 15 ships got through on July 19 versus the usual 88 per day. Add Russian strikes on Odesa and Ukrainian interdiction of fuel routes to Crimea, and you have 8.0 million barrels per day already offline with another 2.0 million at risk. WTI is up 13.95% this week to $89.96, but that's still 20% below the yearly high — meaning markets are pricing in either a rapid resolution or demand destruction neither war shows any sign of delivering.