Markets

European diesel markets have entered an unprecedented supply crunch as geopolitical conflicts, targeted refinery attacks, and sweeping export restrictions drive fuel inventories to the multi-year floor.

The global oil market has entered a dangerously exposed position as renewed US-Iran hostilities have effectively re-closed the Strait of Hormuz, eliminating the safety net that previously cushioned supply disruptions.

The breakdown of the Jun. 17 US-Iran Memorandum of Understanding (MoU) has disrupted global oil, refined product, and LNG markets.

A sudden escalation in Middle Eastern hostilities has fractured the fragile US-Iran interim peace framework established on Jun. 18, and has severely clouded the outlook for the global oil market.

Global energy markets are grappling with extreme volatility as oil prices collapse back to pre-war levels near $70/b, driven by a tentative 60-day US-Iran Memorandum of Understanding (MoU) that has drastically cooled fears of a prolonged Strait of Hormuz closure.

Since the formal departure of the United Arab Emirates (UAE) on May 1 has fundamentally fractured OPEC's institutional stability, Iraq, the cartel's second-largest producer, now stands at a historic crossroads.

The global energy market is caught in a profound disconnect between diplomatic optimism and volatile frontline realities, injecting severe uncertainty into the future of the Strait of Hormuz.

As the Middle East crisis drags on, the global energy landscape faces a severe supply crunch with both the US, the world's number one oil consumer, and China, the leading oil importer, simultaneously drawing down their strategic and commercial reserves.

The closure of the Strait of Hormuz has blocked 14 MM b/d of crude transit since Feb. 2026, triggering an unprecedented physical deficit.

A three-month total closure of the Strait of Hormuz has shut in between 10MM b/d and 15MM b/d.of crude oil.