Crude Oil Prices Jump as Strait of Hormuz Remains Shut

Crude oil and gasoline prices surged following President Trump's rejection of Iran's peace proposal and the continued closure of the Strait of Hormuz. The US-Iran conflict is exacerbating global oil and LNG shortages, and OPEC+'s production increase is unlikely due to Middle East producers being forced to cut output. The IEA estimates that global oil supply has decreased by 14 million barrels per day due to the conflict and the Strait of Hormuz closure, with a recovery potentially taking two years.