Oil Trades Near 42-Month High as Iran Vows to Keep Hormuz Closed

Oil prices surged to a 42-month high, closing at their highest level since August 2022 amid extreme market volatility driven by geopolitical tensions in the Middle East. Iran vowed to maintain its blockade of the Strait of Hormuz, a critical chokepoint for global oil shipments, escalating supply disruption fears among traders and investors. The shutdown of the Strait—through which nearly 20% of the world’s oil passes—has triggered panic buying, with analysts warning of prolonged market instability if the closure persists. Investors are bracing for further upheaval as energy markets face one of the most turbulent weeks in years, with crude futures experiencing sharp intraday swings. The crisis underscores the fragility of global oil supply chains, with traders monitoring diplomatic efforts to resolve the standoff while hedging against sustained price spikes.