79 days with the Hormuz Strait still close and the market is starting to realize this may not be temporary.
The Strait of Hormuz handles a massive portion of global oil flow. When that route stays blocked, traders start pricing in worst case scenarios fast.
If negotiations fail and the Strait remains closed, oil ( $CL ) could continue squeezing higher as supply fears intensify. 📈
But if a deal suddenly happens and Hormuz reopens, the market could unwind fear premiums aggressively which may hit oil hard short term. 📉
Personally, I think volatility becomes the real trade here. Every headline now has the power to move commodities sharply in either direction.
What's is your take? more Dump or pump on OIL