Tanker traffic through Strait of Hormuz slows after Iranian attacks trigger renewed fighting with U.S.

Oil is up more than 7% this week as investors price a potential drop in exports through the Strait of Hormuz amid escalating U.S.-Iran tensions over control of the waterway. The risk of disrupted supply is the key driver of the rally, keeping market sentiment tilted to the downside for risk assets.

Analysis

Oil is up more than 7% this week as investors price a potential drop in exports through the Strait of Hormuz amid escalating U.S.-Iran tensions over control of the waterway. The risk of disrupted supply is the key driver of the rally, keeping market sentiment tilted to the downside for risk assets.