One Strait, Global Chaos
The Islamic Revolutionary Guard Corps (IRGC) intensified tensions around the Strait of Hormuz in early March, creating immediate ripple effects across global energy markets. As a result, oil prices surged sharply at times rising three to four times their previous levels in volatile trading conditions. This instability did not remain confined to crude oil alone; it cascaded into broader inflation, driving up the cost of essential goods worldwide. According to global reports, the price of a $100 barrel of crude oil has been further inflated by unprecedented insurance and freight costs, reflecting the heightened geopolitical risk in the region. Strait of Hormuz The Strait of Hormuz, a narrow maritime chokepoint, accounts for nearly a quarter of global oil consumption flows. Any disruption in this corridor has the potential to trigger a dramatic spike in fuel prices with even a single escalation in the Gulf region. Since the onset of tensions involving Iran, the price of Brent crud...