Iran War Escalates, Strait of Hormuz Shut, Oil Prices Surge

The widening Iran war has led to a record 25% surge in Brent Crude oil prices and the effective closure of the crucial Strait of Hormuz, severely disrupting global energy supplies. Key producers like Kuwait and Iraq have cut output, and attacks on Iranian oil storage facilities have fueled fears of retaliatory strikes. In response, governments worldwide are scrambling to mitigate economic fallout: South Korea is capping fuel prices, Japan is preparing for a crude release, Vietnam has removed import tariffs, and Bangladesh has shut universities to conserve energy. China has asked refiners to halt fuel exports, and Indonesia is increasing fuel subsidies. The G7 finance ministers are discussing a joint release of emergency oil reserves. The naming of Mojtaba Khamenei as Iran's supreme leader is expected to draw the ire of Donald Trump, further escalating geopolitical tensions. Analysts predict that other major producers like the United Arab Emirates and Saudi Arabia may also have to cut output soon.