The US pledged to escort and insure oil tankers traversing the Hormuz Strait in an attempt to head off an energy crisis.
The Iran attacks have already caused oil prices to top $80 a barrel, with widespread geopolitical impacts: Iran’s output makes up 13% of China’s imports, and Beijing is likely to lean more heavily on Russia while that flow is disrupted, the Financial Times reported. India may also turn back to Russian gas despite US sanctions. Asian markets fell sharply, with South Korea’s stock exchange briefly halting trading.
Even the US, the world’s largest oil producer, faces an energy shock: Shale bosses said they could not step up production fast enough to replace threatened supply.
