Breaking
Iran Revolutionary Guard Says Strait of Hormuz Closed Indefinitely, Fires Warning Shots at Vessel
Summary
- Iran’s Islamic Revolutionary Guard Corps Navy said it has closed the Strait of Hormuz until further notice.
- A prolonged closure of the Strait of Hormuz could directly affect global oil prices, shipping and global inflation pressures.
- Markets are watching whether the move rekindles tensions between the US and Iran and adds to energy supply concerns while weighing on risk-asset sentiment.
Iran’s Islamic Revolutionary Guard Corps Navy said it has closed the Strait of Hormuz until further notice.
Walter Bloomberg, a fast-news financial account, reported on July 12 that the IRGC Navy announced that “the Strait of Hormuz is closed until further notice.”
The announcement followed warning shots at a vessel that tried to use an unauthorized route. Iranian state media said the ship had attempted to pass through an unapproved channel.
The Strait of Hormuz is a key maritime chokepoint for Middle Eastern crude oil and liquefied natural gas. A prolonged closure could directly affect global oil prices, shipping and inflation pressures worldwide.
Markets are also watching whether the move rekindles tensions between the US and Iran. Rising concern over energy supplies could further weigh on sentiment toward risk assets.
