Deal to Reopen Hormuz Kicks Off Long Effort to Ease Energy Crisis
The pace of the recovery will depend on how confident companies are that the deal between the United States and Iran will hold and be extended.
The pace of the recovery will depend on how confident companies are that the deal between the United States and Iran will hold and be extended.
In a call to The New York Times, President Trump praised Russia’s and China’s leaders and described Israel’s prime minister as “a very difficult guy.”
With more than 500 ships still stranded in the Persian Gulf, pressure on the shipowners and sailors is growing by the day.
A U.S. military official said the president’s seemingly dramatic announcement on Wednesday referred to a previously reported effort to shepherd commercial vessels through the Strait of Hormuz.
The 24 crew members were stranded for more than two hours before being rescued by an Omani military helicopter. The U.S. military said that the ship had violated its blockade of Iran.
The Yemeni militia group, which is backed by Iran, said it would impose a partial blockade in the waterway, a move that would further strangle supply routes and aggravate the conflict in the Mideast.
Over the past two decades, Iran repeatedly threatened to close down the waterway. President Trump underestimated Iran’s ability to do so.
The attack on the vessel, owned by the Mediterranean Shipping Company, underlines the threat to ships even as the U.S. and Iran try to negotiate reopening the Strait of Hormuz.
Some analysts said the main international oil price, which was up 6 percent on Monday, could climb much higher in the coming weeks if the Strait of Hormuz doesn’t reopen.
Many of the ships stranded in the Persian Gulf depend on coverage negotiated at Lloyd’s, the center of marine insurance for more than 300 years.