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Strait of Hormuz

Oil / LNG Chokepoint

Persian Gulf · Between Iran and Oman

The Strait of Hormuz is the world's most critical oil chokepoint. Approximately 20% of global petroleum and 25% of the world's LNG transits this 33-mile-wide passage daily, connecting the Persian Gulf to the Gulf of Oman. Saudi Arabia, Iraq, Iran, UAE, and Kuwait all depend on Hormuz for oil exports. Any credible disruption causes an immediate spike in Brent crude and tanker day rates.

Live Vessel Traffic

AIS coverage limited

Terrestrial AIS has limited coverage of the Strait of Hormuz. Use the live map above for vessel positions.

Live Vessel Map

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Live AIS vessel positions via MarineTraffic

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Correlated Assets

Tanker Stocks

FROFrontline Ltd

Largest crude tanker operator — most direct Hormuz equity play

FRO·$35.491.87%
INSWInternational Seaways

Diversified tanker fleet — strong correlation to Persian Gulf activity

INSW·$74.490.96%
TNKTeekay Tankers

Mid-size tankers — volatile around OPEC and Hormuz escalation news

TNK·$74.730.47%
DHTDHT Holdings

VLCC operator — very large crude carriers dominate Hormuz traffic

DHT·$17.713.08%

Energy Futures

CLWTI Crude

Hormuz disruption spikes WTI immediately via supply shock fears

CL·$90.950.36%
BZBrent Crude

Brent is more sensitive to Middle East supply — primary signal

BZ·$94.700.09%
NGNatural Gas

LNG from Qatar transits Hormuz — disruption tightens global LNG

NG·$2.610.27%

ETFs

USOUS Oil Fund ETF

Liquid crude proxy for non-futures traders

USO·$122.594.58%
OIHVanEck Oil Services ETF

Broad energy services exposure

OIH·$405.900.77%

Key Risk Factors

Iranian military threats

Iran periodically threatens to close the strait in response to sanctions or regional escalation.

Houthi spillover

Red Sea Houthi attacks have diverted some tanker traffic — further escalation could extend to Hormuz.

US-Iran sanctions pressure

Sanctions enforcement affects how many Iranian barrels transit, altering effective throughput.

OPEC+ output changes

Saudi, UAE, and Kuwaiti export volumes all flow through Hormuz — OPEC cuts reduce traffic.

Floating storage buildups

Tankers anchoring offshore to store crude signal oversupply — a bearish crude signal.

Trading Context

Why Hormuz matters more than other chokepoints: Unlike Panama or Suez, there is no bypass route for Persian Gulf oil. If Hormuz closes, Saudi Arabia, UAE, Iraq, and Kuwait lose their primary export pathway. The Strait carries approximately 17–18 million barrels per day.

Floating storage signal: When tankers anchor in the strait or nearby anchorages rather than transiting, it typically signals either a demand shock (buyers deferring delivery) or sanctions-related holding patterns. An anchored ratio above 25% is a watch signal; above 40% is elevated.

How to trade a Hormuz disruption: Long Brent (BZ) and tanker stocks (FRO, INSW) are the primary plays. LNG-exposed names (GLNG, FLEX) benefit from Qatar LNG disruption. The reaction is typically fast — futures move within hours of credible threat news.

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AI-generated analysis · Not financial advice · Legal disclosures