Yesterday the price of West Texas Intermediate fell by US$5.30 per barrel. It is now at US$79.36 per barrel - dropping below US$80 per barrel. The Dow Jones is still up.
The Straits of Hormuz is open and functioning. The Straits was never closed. Marine insurers (based in anti-Trump London and Holland) refused to cover or raised the insurance premiums sky high - which resulted in shipping companies unable to secure insurance for their vessels. But the Straits itself was never completely closed. Plus there is now a southern route that hugs the Oman coastline - away from Iran.
There are just a couple of hundred ships still stuck inside the Persian Gulf. The large bulk of the 1,200 - 1,500 ships that were stuck inside the Persian Gulf have safely exited the Persian Gulf sometime ago.
Every day about 15 vessels safely navigate the Straits of Hormuz in both directions - without being escorted by the US Navy. There are other ships (American and allied or high value) that are still being escorted by the US Navy. The US Navy is also patrolling the Straits and taking out any Iranian naval boats that approach the shipping.
Which is why the oil prices can fall so much and so quickly. As I said before despite all the bullshit, oil prices never hit US$100.00.
Oil is a sunset industry.
