The ongoing tension in the Strait, a major route for global oil transportation, has investors worried.Crude oil prices in the international market rose more than 7 percent in a single day on Monday. US crude oil prices rose 7.4 percent to $71.97 a barrel, while Brent crude oil prices rose 7.7 percent to $78.46. However, economists say that the current price increase is only a temporary increase caused by fears of war. If the Strait of Hormuz is closed for a long time or oil wells in Gulf countries are damaged, prices are likely to rise uncontrollably; on the contrary, if the conflict ends soon, crude oil prices are expected to return to their previous levels.
Strait of Hormuz Tensions: Crude Oil Prices Soar!!!
