The risk of Iran closing the Strait of Hormuz is real and could disrupt 20% of global oil supply. Click here for more information on Market Outlook.

The Strait of Hormuz is both a vital passage point and a permanent point of tension. As long as the world depends on Oil from the Persian Gulf, its security will remain a major geostrategic concern. If Iran were to cross the red line, the consequences would not be limited to barrels of Oil, but the global economic balance could be shaken.

Tensions at the Strait of Hormuz risk 20M bpd in crude oil flow, fueling a sharp rally in oil futures and boosting market volatility.

Oil prices were stable on Monday after Iran's oil production infrastructure was excluded from intensification of military conflict with Israel, while the Strait of Hormuz remains open

Israel’s strikes on Iran on Friday have raised the prospect of global oil prices hitting $100 a barrel. If Tehran seeks to escalate the conflict by retaliating beyond Israeli borders, it could seek to choke off the Strait of Hormuz,

Oil futures spiked Sunday night after Israel launched drone strikes against Iranian natural gas plants, sending shock through the energy market and smashing

Oil prices leaped, and stocks slumped on worries that escalating violence following Israel’s attack on Iranian nuclear and military targets could damage the flow of crude around the world, along with the global economy.

President Donald Trump on Monday encouraged the evacuation of “everyone” in Tehran, a city of nearly 10 million people. The president fired off the message in a post on his Truth Social platform, writing,