Tehran. Iran’s Foreign Minister Abbas Araghchi has said that at present there is no intention to close the Hormuz Strait. A day before, when Iran’s Supreme Leader Ayatollah Ali Khamenei was killed in an American attack, there were fears that Iran might close Hormuz. If Hormuz was closed, the price of crude oil could have increased from $ 70 per barrel to $ 120 per barrel. This could also affect petrol and diesel in India. However, experts believe that the risk of increase in crude oil prices still remains.
According to media reports, Iran may not officially close the Hormuz waterway but it can attack oil tankers. Recently three ships were attacked at the mouth of the Persian Gulf. After this attack, tanker companies are moving away from this route. If this ongoing war with Israel and America continues for a long time, then such attacks may continue in the future also. Due to this, shipping companies will be afraid to go through that route and despite the route being technically open, the supply of crude will come to a halt and prices may increase.
According to the report, the risk on sea routes increases in war-like situations. Because of this, war risk insurance and shipping freight for ships carrying crude oil become expensive. This increased cost ultimately drives up crude oil prices. The global market always runs on future fears. Until the tension in the Middle East does not end completely, crude oil prices may remain bullish.
