Strait of Hormuz closure explained: what it means for oil prices

The Strait of Hormuz is the world’s most important oil chokepoint, and its closure is rattling energy markets. Here is what is going on. The strait, a narrow waterway between Iran and Oman, carries about a fifth of global oil and gas shipments.
It has been shut since the June conflict, forcing tankers onto longer, costlier routes. Iran’s parliament speaker said on October 4 that it will stay closed until seven conditions under the June Islamabad memorandum are met. Foreign Minister Abbas Araqchi says Tehran’s plan could reopen it within seven days if accepted, but warned Iran is ready if the US chooses military action.
Why it matters for you: a prolonged closure keeps fuel and shipping costs high, which feeds into petrol prices and the cost of imported goods. What happens next: diplomats are pushing Iran to accept a deal, while Washington keeps the military option on the table. Watch for any announcement from Tehran in the coming days.
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