This situation, although largely restored now with U.S. military escorting tankers through the Strait of Hormuz, oil prices haven’t dropped back. On one hand, transportation costs are too high; on the other hand, Iran still has the capability to continue attacking tankers and disrupting shipping routes (risk premium source). According to reports, last night India confirmed that a Panama-flagged tanker, MT On Peace, was attacked in the strait. Two or three days ago, the UK Maritime Trade Operations (UKMTO) also reported three incidents of tankers being attacked in the Strait of Hormuz. These were actual hits. This also shows that the previous U.S.-Iran attacks and escorts in the strait were back-and-forth games, with many rounds of confrontation. The U.S. likely intercepted quite a few as well. If Iran decides to pull off something big before the elections, it’ll really test the U.S. military’s escort capabilities