Strait of Hormuz traffic collapse

Escalating US-Iran hostilities have caused a dramatic drop in Strait of Hormuz transits, with only three commodity vessels crossing on July 16, the lowest since May. Iran's Islamic Revolutionary Guard Corps declared no oil or gas exports through the strait as long as US attacks continue. Iraq briefly suspended oil loadings at Iraq — Basra after a drone hit a tanker. Tehran signaled it could encourage Houthi allies to close the Bab-el-Mandeb strait if US attacks on Iranian infrastructure expand. Two VLCCs carrying Saudi and Iraqi crude reappeared outside the strait heading to Japan and Turkey. The strait normally handles about one-fifth of global oil and LNG shipments, and the disruption has driven up global energy prices.