▶️ Crude Oil ( $CL ) Scenario:
Today crude Oil prices extended gains on Monday, rising nearly 2% as peace talks between the U.S. and Iran stalled while shipments through the Strait of Hormuz remained limited, keeping global oil supplies tight.
Tehran has largely closed the strait while Washington has imposed a blockade of Iran's ports. Traffic through the Strait of Hormuz remained limited, with just one oil products tanker entering the Gulf on Sunday, shipping data.
The market knows what follows: oil at $130-140/barrel. Geopolitical premium + physical shortage + panic = a classic overheat formula.
The current "restraint" from Washington may have less to do with diplomacy and everything to do with what's left in the tank.