Oil prices are likely to peak "in the next few weeks" once shipping through the Strait of Hormuz resumes, US Energy Secretary Chris Wright said on Monday, UNN reports with reference to Reuters.
Details
Prices are expected to continue rising until "significant" ship traffic resumes through the strait, Wright said at the Semafor World Economic Forum in Washington, despite his earlier statements that oil prices were likely to fall soon.
We will see high energy prices - and perhaps even rising ones - until significant ship traffic resumes through the Strait of Hormuz. Oil prices are likely to peak at that time. This is likely to happen in the next few weeks.
Addition
On Sunday, US President Donald Trump said that oil and gasoline prices could remain high until the November midterm elections, a rare admission of the potential political consequences of his decision to attack Iran six weeks ago.
Since the war began on February 28, Iran has largely blocked the Strait of Hormuz to all but its own vessels. Tehran seeks to solidify its control over the waterway and potentially charge fees to vessels that use it.