CITIC Futures: The Strait of Hormuz continues to have low traffic volume, and oil prices fluctuate with a slight upward trend

During the May Day holiday, the geopolitical tensions between Iran and the U.S. continued to persist. Incidents were reported involving attacks on oil tankers and oil facilities around the Strait of Hormuz, and in early May, traffic volume through the Strait of Hormuz was extremely low. At the same time, Iran’s crude oil storage capacity rate rose, and under the U.S. blockade, the decline in Iran’s crude oil exports was to some extent reflected. Looking ahead to May, against the backdrop of low traffic volume through the Strait of Hormuz, with overseas oil product inventories remaining low and the peak consumption season approaching, overseas refineries are expected to accelerate crude oil inventory drawdowns. Prices are expected to remain range-bound with an upward bias, and given the repeated fluctuations in geopolitical sentiment, volatility is expected to stay relatively high. (CITIC Futures)