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Market Chatter: Traffic Moves Through Strait of Hormuz Despite Iran's Closure Announcement

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The number of oil-laden vessels transiting through the long-shuttered Strait of Hormuz has increased as the US and Iran begin peace negotiations, with the US Central Command noting 55 vessels carrying 17 million sailing out on Saturday, Bloomberg reported.

Iranian cargo was moving again after the US lifted a blockade of its ports, with volumes at their highest since the start of the conflict, the article said. Iran said it had shut the Hormuz Strait again on Saturday, but traffic still looked to be moving.

The article said about 6 million barrels of Iranian oil apparently loaded at Iran's Kharg Island terminal is now bound for Singapore on sanctioned vessels, according to their broadcasts, with China likely the final destination, the report said.

Bloomberg said some vessels had switched off transponders to make the crossing, the latest of which was a Greek-flagged tanker bringing Iraqi crude to Singapore. Four empty tankers linked to Qatar and designed for liquefied natural gas also crossed into the Persian Gulf on Monday, which would be the most since the Feb. 28 start of the Iran war, the article said.

has requested comment on the status of the strait from the Iranian Oil ,Gas and Petrochemical Products Exporters' Union.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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