Oil markets have avoided a catastrophic price spike so far because inventories, spare capacity, and weaker demand have temporarily cushioned the impact of the Strait of Hormuz closure.

Oil prices fell sharply as traders priced in growing hopes that a U.S.-Iran deal could reopen the Strait of Hormuz and ease the global supply shock.

Oil prices tumbled over 5% on Monday, falling below the $100 per barrel mark, buoyed by optimism over a potential agreement aimed at ending the US-Iran war. The market reaction…

Oil markets have avoided a catastrophic price spike so far because inventories, spare capacity, and weaker demand have temporarily cushioned the impact of the Strait of Hormuz…