War Could Soon Force Oil Prices To Catch Up with the Massive Supply Loss

The oil market may be sleepwalking into a significant move higher if the Strait of Hormuz remains blocked beyond March. The massive loss of supply from the Middle East has already reverberated through Asia, which depends on oil and gas from the Gulf and which is already rationing fuel, banning exports, and paying hefty premiums for any crude that could replace the sour Middle Eastern grades that are trapped by the de facto closed Strait of Hormuz. Oil traders and speculators – those who haven’t fled yet the extremely volatile…