The Hormuz Shock Is Far From Over
AI Summary
Shipping transits through the Strait of Hormuz remain largely disrupted despite reports of Iran and Oman nearing a deal. Brent crude prices are near $85 a barrel amid ongoing supply chain stress, with normalization expected to take months even if maritime traffic resumes.
The latest Bloomberg data show that shipping transits through the Strait of Hormuz remained largely disrupted Monday morning, even as Iran and Oman reportedly moved closer to a deal. Brent crude futures traded near $85 a barrel as markets priced in the possibility that a deal to reopen the maritime chokepoint could be imminent. Yet global supply-chain stress remains near its highest level since the pandemic, and any normalization could take months, even if shipping traffic resumes. UBS senior international economist Pierre Lafourcade highlighted…