Recent days have seen a significant spike in global oil prices as tensions in the Middle East continue to escalate. The situation has been further exacerbated by the possibility of Israel's conflict expanding to the vital Strait of Hormuz, located off Iran's southern coast.
The Strait of Hormuz, a narrow waterway just 21 miles wide at its narrowest point, is widely recognized as the world's most crucial oil transit chokepoint, according to the US Energy Information Administration. Approximately one-fifth of the world's global oil trade passes through this strait daily, along with a quarter of the world's daily trade in liquefied natural gas.
