Trump is betting the blockade will break the Iran regime. Why that could backfire

Wolfe Research warned that a blockade could prolong the closure of the Strait of Hormuz and raise the risk of violent retaliation from Iran. The passage is a critical chokepoint for global oil flows, so any extended disruption would likely lift energy prices and increase broader geopolitical risk. Market impact could be significant given the potential for supply shocks in crude and related transport routes.

Analysis

Wolfe Research warned that a blockade could prolong the closure of the Strait of Hormuz and raise the risk of violent retaliation from Iran. The passage is a critical chokepoint for global oil flows, so any extended disruption would likely lift energy prices and increase broader geopolitical risk. Market impact could be significant given the potential for supply shocks in crude and related transport routes.