Crude traffic through Strait of Hormuz hits 6-month high
September 22, 2026
The energy markets continue to feel selling pressure as the current news offers some optimism and or hope for progress on peace. Crude fell for the fourth straight session to its lowest level in 12 days, as Hormuz traffic hit a six-month high, and the workaround barrels are moving. All this give diplomacy a chance to potentially work this week.
Analysts have suggested the drop in prices as fading risk premium, not an end to the risk. I think this is important to remember. MUFG said improving Hormuz traffic and renewed diplomacy are reducing the premium, but Saudi export constraints and Red Sea security risk leave the market vulnerable to further disruptions. We also still have all the lost prodctuion and the lost barrels that are gone to contend with moving forward even if we do get some type of peace accord or positive news on the ongoing wars.
According to data from the Department of Energy, stocks of crude oil in the US fell to 284.6 million barrels last week, the lowest level since October 1982.
Also helping prices move lower is news that a senior Iranian office made that the Iranian delegation at the United Nation meeting in New York has full authority to revive diplomacy with the US, and that the Stria of Hormuz can be reopened within seven days if the US lifts the blockade.