President Donald Trump on Saturday said that peace with Iran is at hand and the Strait of Hormuz will reopen.
We’ll see. Trump has become the president who cried peace. After repeated fakeouts over the past three months, the market has begun to ignore Trump’s play-by-play. Instead, it is awaiting tangible signs of an agreement with Iran.
Iran has played hardball on fully reopening the strait — its main piece of leverage throughout a war in which it was overwhelmed, militarily. But Iran has used speed boats, mines and improved drones to block the strait to tankers, starving the global economy of a fifth of its oil.
But if this really, truly is the end of the war and the strait is about to reopen, what happens next?
When will prices return to where they were before the war?
