WS #2787

The Strait of Hormuz crisis is showing signs of de-escalation from the previous synthesis, with vessel transits increasing and Iran reportedly allowing passage for most foreign ships in exchange for tolls, though uncertainty remains due to Revolutionary Guard involvement and high fees. This development counters the bearish supply disruption thesis for oil and shipping, potentially dampening bullish pressure on energy prices. However, geopolitical tensions remain elevated with a deadly airstrike on pro-Iran forces in Iraq and Iran requesting talks with former President Biden, while Bahrain's UN resolution authorizing force to protect shipping introduces a potential military countermeasure. The Ukraine conflict continues with Russian advances and ongoing energy sanctions, maintaining pressure on global oil markets. Economic concerns persist as the UK prepares a response to soaring energy prices, and market jitters over the Iran war are impacting bond markets and risk appetite. Corporate news includes Berkshire's deal with Tokio Marine and cybersecurity risks for unupdated iPhones, while Tesla remains a controversial stock with extreme price predictions.