Iran’s parliamentary speaker says purchasers of U.S. Treasuries are a legitimate military target because the funds are used against Iran.
Does not sound like Iran is interested in talks to end the war on U.S. terms. Crude up less than 1% today
Macroduck
The FT reports that the last LNG tankers to leave the Persian Gulf will arrive at their destinations within 8 days (10 days when the article was published):
That’s when the physical shortage really begins to bite. Physical shortage is a different beast than mere high prices. Getting new cargoes out of the Gulf today would leave a shortage for the time required for transit. Looks like a 16-day gap, if my calendar skills are right. That’s if Iran opens the Strait of Hormuz immediately. Then there are the effects of damage to infrastructure and shut in production to get past.
This report relates to LNG. I assume the delivery calendar works similarly for oil.
Economic damage is likely to start piling up more rapidly now.
Ivan
Good news is that Europe is heading into the season where LNG imports are used to fill the stocks for next winter. They have some tolerance for reduced imports the next 6 months.
i
Clever in theory, maybe not so effective in practice. I guess we’ll find out:
https://www.iranintl.com/en/202603221534
Iran’s parliamentary speaker says purchasers of U.S. Treasuries are a legitimate military target because the funds are used against Iran.
Does not sound like Iran is interested in talks to end the war on U.S. terms. Crude up less than 1% today
The FT reports that the last LNG tankers to leave the Persian Gulf will arrive at their destinations within 8 days (10 days when the article was published):
https://archive.is/ZtTAT
That’s when the physical shortage really begins to bite. Physical shortage is a different beast than mere high prices. Getting new cargoes out of the Gulf today would leave a shortage for the time required for transit. Looks like a 16-day gap, if my calendar skills are right. That’s if Iran opens the Strait of Hormuz immediately. Then there are the effects of damage to infrastructure and shut in production to get past.
This report relates to LNG. I assume the delivery calendar works similarly for oil.
Economic damage is likely to start piling up more rapidly now.
Good news is that Europe is heading into the season where LNG imports are used to fill the stocks for next winter. They have some tolerance for reduced imports the next 6 months.