Analysts: Political and Economic Costs Accumulate, U.S. Likely to Make Concessions First

On April 24, the Commonwealth Bank of Australia (CBA) stated in a report released on Friday: “The longer the Strait of Hormuz remains closed, the greater the economic losses—this could force one party to concede.” Before the outbreak of war, approximately 20 million barrels of oil and petroleum products were transported through the strait daily. Analysts wrote: “We believe that due to the accumulating political and economic costs, the U.S. is likely to make concessions first. However, there remains a risk of large-scale military conflict, which would significantly increase the value of the dollar.” (Jin Shi)

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