The price of Brent crude oil, the international standard, spiked back over $100 as Iranian strikes hit ships and the American-Israeli war with Iran showed no signs of slowing. (All figures in U.S. dollars.)
Thursday’s major developments include Iran’s attacks against commercial ships around the Strait of Hormuz and Iraq’s port of Basra, escalating its defense strategy of pressuring the U.S. by squeezing the oil-rich Gulf region to threaten global economic stability. The first week of the war cost the United States $11.3 billion, according to the Pentagon.
The Israeli military also is striking Iran and moving troops to fight Iran’s militant ally Hezbollah in Lebanon, where more than 800,000 people have been displaced by the fighting. The U.N. refugee agency says up to 3.2 million people in Iran have been displaced by the ongoing war.
And while Iranian Supreme Leader Ayatollah Mojtaba Khamenei hasn’t been seen publicly or made a statement since being chosen to succeed his father, Iranian President Masoud Pezeshkian suggested that for the war to end, the world would need to recognize Iran’s “legitimate rights,” pay reparations and guarantee against future attacks.
Here is the latest:
Energy secretary says U.S. Navy not ready to escort oil tankers through Strait of Hormuz
“It’ll happen relatively soon, but it can’t happen now,” Wright said in an appearance on CNBC. “We’re simply not ready.”
Wright said the U.S. is currently focusing military assets “on destroying Iran’s offensive capabilities and the manufacturing industry that supplies their offensive capabilities.”
U.S. energy secretary says global oil trade facing ‘significant disruption’
Secretary Chris Wright offered the assessment as oil prices surged in morning trading in the U.S. after more oil tankers were attacked by Iran and the critical Strait of Hormuz remains effectively closed.
“We’re in the midst of a significant disruption in the short term to fix the security of energy flow for the long term,” Wright added.
He added the world will face “short-term pain to solve long-term problem” as the U.S. and Israel try to “defang” Iran.