There were signs of a recovery in crude oil transport near the Strait of Hormuz, which slowed down market concerns about supply disruptions. It was reported that, following the signing of a new memorandum of understanding, some 40 super-large tankers were awaiting passage through this critical channel.
About 80 million barrels of crude oil to be shipped
The combined load of tankers awaiting passage is approximately 8 million barrels of crude oil. The Strait of Hormuz connects Gulf oil-producing countries with major global consumer markets, and the pace of crude oil outlet is expected to accelerate once traffic resumes.
This means that the supply risk that had previously been pushed up by conflict is being mitigated. For the energy market, the re-routing of tankers is not only about short-term delivery but also affects global crude oil supply expectations.
Oil prices have fallen since the war.
As a result of the fighting, international oil prices rose to $120 per barrel. As transport recovery is expected to increase, oil prices have fallen to about US$ 77, indicating that market pricing for worst-case scenarios is weakening.
Let's follow up on actual navigation.
Next, the market will focus on the actual departure and passage of the waiting tankers. If transport resumes smoothly, oil prices may continue to be close to pre-conflict levels of approximately $67 per barrel.
The Strait of Hormuz is the main global energy transport route, and its operational status is often rapidly transmitted to crude oil, shipping and inflation expectations. If this recovery is sustained, tensions in the global energy market are expected to ease further.