Pioneering Futures: Navigation through the Strait of Hormuz has dropped to zero, and Brent crude oil breaks above $90

The core factor behind the recent spike in oil prices is the rapid deterioration in navigation conditions in the Strait of Hormuz. According to sources cited by Iran’s Fars News Agency, the strait’s shipping volume has dropped to zero; as long as the United States continues its provocative behavior, the strait will remain closed. At present, no vessels are passing through, and any attempt to cross the strait will be met with strikes from Iran. Iran said that the ceasefire agreement with the United States has effectively already broken down, and energy transport through the Strait of Hormuz may face even more severe disruption. At the same time, a Kuwaiti oil facility was attacked over the weekend and suffered serious damage, further intensifying market concerns about supply security.

The U.S.-Iran military conflict continues to escalate. According to Xinhua News Agency, the U.S. Central Command confirmed that two U.S. service members were killed on the 17th in Jordan after being attacked by Iranian ballistic missiles and drones, and that one U.S. service member died on the 18th while carrying out Iran-related duties in northern Iraq. The U.S. military has launched a new round of strikes against Iran for the sixth consecutive night, while Iran responds with missile and drone attacks on U.S. facilities in the Middle East.

U.S. Energy Secretary Wright stated clearly that the United States’ military actions against Iran will continue until President Trump achieves his military operation objectives. The Chief of the General Staff of the Israel Defense Forces also said that the Israel Defense Forces are closely monitoring the situation in Iran and maintaining a high state of readiness, and are prepared to resume combat operations immediately.

In the short term, continue to look for a rebound; it is recommended to hold long positions. (Chuangchuang Futures)