The world’s most critical oil route remains blocked — and the clock has run out.
Oil prices climbed sharply as Trump’s Strait of Hormuz deadline expired with Iran showing no sign of backing down.
WTI crude futures surged past $115 per barrel while Brent rose to $111.43.
Trump’s Ultimatum And Iran’s Rejection
Trump threatened to strike Iranian energy facilities if the strait was not reopened, posting a blunt warning on Truth Social on Sunday morning.
Iran’s response was equally firm. Tehran rejected the US ceasefire proposal and instead presented a 10-point counter-plan including a permanent end to hostilities and the lifting of all sanctions.
The Biggest Energy Disruption in History
Iran has brought shipping through the strait to a near-standstill, triggering what the International Energy Agency called the largest disruption to global energy supplies in history.
Global oil prices have risen more than 40% since the start of the war. While 8 tankers transited the strait on Monday, it remains far below the pre-war average of 20 million barrels per day.
What Happens Next?
Shell’s CEO warned that fuel shortages will ripple around the world, beginning with jet fuel, followed by diesel and finally gasoline.
Analysts say the longer the closure holds, the steeper the economic fallout for Asia, Europe, and beyond.
The deadline is gone. No deal is done. The Strait stays shut.