Hormuz is shut, oil may never return to $60 — accumulate major oil stocks while they're still catching up
The Strait of Hormuz — the narrow waterway through which about a fifth of the world's oil flows — has been shut since the Iran war began in February. Even if a ceasefire is reached, experts say oil prices may stay elevated permanently because the shock has permanently reshaped energy supply chains.
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The closure of the Strait of Hormuz has created a genuine global energy crisis — roughly 20% of the world's oil supply passes through that narrow channel. China's export prices just jumped the most in three years as the oil shock ripples through manufacturing, and France and Spain are seeing their fastest inflation since 2024. Even if the US and Iran reach a ceasefire, analysts are warning that the era of cheap oil is over because supply routes and production investments have been permanently disrupted. Major oil producers like Chevron and ExxonMobil stand to reap windfall profits from sustained higher prices, and the sector has been quietly building strength throughout this crisis.