Because about one in five barrels of oil passes through it, making the corridor a linchpin for global energy security. Any disruption can trigger price hikes, supply shortages, and geopolitical crises that ripple through the world economy.

In the past month, Iran conducted large‑scale naval exercises near the Strait, while U.S. destroyers increased their patrol tempo in response. Several commercial vessels reported being approached by small Iranian boats, and a temporary traffic lane was closed for a brief period due to a reported incident involving a fishing vessel.

Even a one‑day slowdown can tighten supply curves, prompting oil futures to climb sharply. Energy‑heavy economies may face higher import costs, and investors may reallocate capital away from commodities sensitive to geopolitical risk, amplifying market volatility.