Last mentioned: Mar 11, 2026
Emergency Regulations
India, Thailand, and Philippines announce energy conservation and labor mandates.
Global Austerity
IMF warns of GDP contraction; SE Asian nations implement emergency energy-saving protocols.
Market Peak
Oil prices hit a peak of nearly $120 per barrel before settling near $90.
Rationing Begins
Thailand, Philippines, and Vietnam announce mandatory energy conservation measures.
Hormuz Blockade
Effective shutdown of the Strait begins, trapping 20 million barrels of oil per day.
Market Peak
Oil prices hit nearly $120 per barrel as the Strait of Hormuz closure is confirmed.
Market Shock
Oil prices peak at nearly $120 as 20% of world oil supply is cut off.
Missile Strikes
U.S. and Israel launch strikes killing Iranian leader Ayatollah Ali Khamenei.
Missile Strike
U.S. and Israeli forces launch strikes killing Iranian leader Ayatollah Ali Khamenei.
Missile Strikes
U.S. and Israel launch strikes killing Ayatollah Ali Khamenei; Strait of Hormuz is effectively closed.
Pre-Conflict Stability
Oil prices trade below $70 per barrel with normal traffic through the Strait of Hormuz.
Pre-Strike Baseline
Oil prices trade below $70 per barrel; Strait of Hormuz remains open.
Pre-Conflict Baseline
Oil prices trade below $70 per barrel with stable global supply.
The effective closure of the Strait of Hormuz following U.S. and Israeli missile strikes has removed 20 million barrels of oil per day from the market, sending prices as high as $120. This geopolitical shock is driving global inflation, threatening food security in emerging markets, and forcing drastic energy conservation measures across Asia.
The joint U.S.-Israeli missile strike on February 28 that killed Ayatollah Ali Khamenei has triggered the 'nightmare scenario' of a closed Strait of Hormuz. With 20 million barrels of oil per day removed from the market, global energy prices have surged, forcing drastic rationing measures across Asia and complicating inflation-fighting efforts for central banks.
The effective closure of the Strait of Hormuz following U.S.-Israeli strikes on Iran has sent oil prices soaring and disrupted global supply chains. This 'nightmare scenario' is forcing central banks to recalibrate inflation strategies while governments implement emergency energy conservation and labor mandates.