Edward Byrd
Crude oil prices held mostly steady, with the United States Oil Fund (USO) trading at 129.67 dollars, down 0.24% on the day, even as questions swirl over whether the Iran war has ended and what that means for tanker traffic through the Strait of Hormuz. The fund sits within its 52 week range of 102.42 to 142.33, with an RSI of 53.7 suggesting neither overbought nor oversold conditions.
| Price | 129.67 USD |
|---|---|
| Day change | -0.31 (-0.24%) |
| 52-week range | 102.42 – 142.33 |
| RSI (14) | 53.7 |
| Volume | 1,617,302 |
Tanker Rates Explode Even as Oil Flows Resume
Gulf producers are pushing more crude through the Strait of Hormuz again, but getting it there has turned into its own crisis. Earnings on the benchmark route from Saudi Arabia to China hit a record 647,000 dollars per day on Thursday, according to Baltic Exchange figures cited by Bloomberg. That is more than ten times what owners earned a year ago and nearly 27% above the 510,000 dollar mark set just ten days earlier.
Shipowners remain wary of sending vessels anywhere near the strait, and that reluctance has thinned the pool of tankers willing to take the risk. Exporters are now bidding up freight costs to secure whatever capacity remains.
Is the Iran War Really Over, and Why It Still Matters for Oil
The question of whether the Iran war has ended is central to how traders are pricing risk in the Gulf right now. Even with crude shipments increasing through Hormuz, the underlying conflict has not fully resolved, and the shipping market is behaving as though the danger has not passed. Producers have started routing cargoes through Hormuz and then transferring them to other tankers once clear of the strait, effectively creating two separate freight bills for a single shipment.
TotalEnergies CEO Patrick Pouyanne said earlier this week that pushing a single cargo through Hormuz now costs about 20 million dollars, and tanker market sources told Bloomberg that figure has climbed even higher since he spoke.
Red Sea Attacks Add Another Layer of Cost
Houthi attacks in the Red Sea are compounding the problem. Saudi Arabia has rerouted some crude shipments through the Mediterranean and around Africa to avoid the danger, tacking on roughly 30 days to voyages headed for Asian buyers. That detour, combined with the Hormuz premium, is stacking costs on top of costs for anyone trying to move Gulf barrels to market.
Even routes outside the strait are getting pricier. A tanker sailing from Oman to China now earns close to 220,000 dollars per day, up sharply from 131,000 dollars a month earlier.
How Much Oil Is Actually Getting Through
Despite the shipping bottleneck, volume is recovering. Traders estimate outflows through Hormuz at 6 million to 8 million barrels per day, and Goldman Sachs pegs current flows at roughly two thirds of pre war levels. That partial recovery helps explain why USO has stayed range bound rather than spiking, even as freight markets scream stress.
Frequently Asked Questions
Is iran war ended?
There is no confirmed, formal end to the conflict as of this reporting. Oil is moving through the Strait of Hormuz again, but tanker owners and shippers are still pricing in significant risk, suggesting the situation remains unresolved.
How iran war ended?
No definitive resolution has been reported. What has changed is that Gulf producers are shipping more crude through Hormuz despite the ongoing tensions, which has eased some supply concerns even without a clear end to hostilities.
Does iran war ended?
Based on available shipping and market data, the conflict does not appear to have formally concluded. Extremely high tanker rates and rerouted shipments indicate the market still treats the region as high risk.
Will iran war ended?
No timeline for a formal end has been reported. Oil flows are recovering toward roughly two thirds of pre war levels according to Goldman Sachs, but that reflects adaptation to risk rather than an end to the conflict itself.
Is iran war ended yet?
Not according to current shipping market behavior. Record high freight rates on the Saudi Arabia to China route and rerouted Red Sea traffic both point to a situation still very much active rather than concluded.
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