Strait of Hormuz Shipping Drops 90% Ahead of U.S.-Iran Ceasefire

Shipping traffic in the Strait of Hormuz has significantly slowed, with only five cargo ships passing through on Saturday, down from 31 the previous weekend. This reduction contributes to a 90% decline in shipping since the conflict started on February 28, with average daily vessel transits dropping to about 130. Brent crude futures fell 0.15% to $88.45 per barrel, and U.S. West Texas Intermediate crude declined 0.74% to $81.79 amid ongoing tensions. The situation is critical as the 60-day ceasefire between the U.S. and Iran is set to expire, affecting oil markets. This matters for ordinary investors as disruptions in this critical oil passage can lead to fluctuations in global oil prices.