Global Choke: Iranian lawmakers have voted to close the Strait of Hormuz, a critical global oil shipping route, in retaliation for recent US strikes on its nuclear facilities. While the final decision rests with top Iranian security officials, an attempt to shut this vital choke point risks triggering a new energy crisis and global recession, as reported by Nkiruka Nnorom of Vanguard News.
- Iran's Parliament voted to close the Strait of Hormuz after US strikes destroyed three Iranian nuclear sites.
- The Strait of Hormuz is a crucial global chokepoint, through which a fifth of global oil and a third of the world’s liquefied natural gas flows.
- Analysts warn that closing the strait could lead to an oil supply shock, pushing up inflation and sparking a global recession.
- Such a move would also likely trigger a significant military response from the US and its allies.
- Oil prices are expected to surge, potentially reaching $100 per barrel or more, if the threat of closure escalates.
Sources: Vanguard News, Nkiruka Nnorom (with Agency reports), Eurasia Group, Panmure Liberum, SEB Research
