Oil prices fall nearly 4% after U.S. Energy Secretary says Hormuz ship traffic is increasing
World News Today
Breaking: Oil prices fall nearly 4% after U.S. Energy Secretary says Hormuz ship traffic is increasing
Oil prices fell Tuesday after U.S. Energy Secretary Chris Wright said ship traffic through the Strait of Hormuz is “rising very meaningfully.”
U.S. crude oil futures fell 4% to $87.68 per barrel by........
Oil prices fell Tuesday after U.S. Energy Secretary Chris Wright said ship traffic through the Strait of Hormuz is “rising very meaningfully.”
U.S. crude oil futures fell 4% to $87.68 per barrel by 11:35 a.m. ET. Brent futures, the international benchmark, lost 3.5% to $90.94
Wright did not provide a specific data on how much oil flows through Hormuz have increased. He made the remarks in an interview with CNBC’s Brian Sullivan at the Atlantic Council Global Energy Forum.
Wright said oil exports through Hormuz are rising and “will continue to rise.”
The U.S. Navy has quietly coordinated with some ships that are trying to exit the Persian Gulf. More oil may be going through Hormuz than is publicly visible, JPMorgan analysts wrote in a June 4 note.
Some 2 million barrels per day might be getting out on tankers that have switched off their transponders, according to the bank’s estimates.
“Despite the ongoing naval blockade and the steep decline in commercial traffic, surprising volumes of crude and petroleum products still appear to be transiting the Strait,” the JPMorgan analysts said.
