Shipping Turmoil Remains Largely Contained To Gulf, For Now

Time is a unique resource in economics because we cannot create more of it and are subject to its limitations. Ludwig von Mises and the Austrians understand the role of time in economic better than most other mainstream economists.

President Donald Trump said he would respond to Ansar Allah’s attacks on Saudi ships in the Red Sea by ordering attacks on Yemen and Iran.  “A year ago the United States of America attacked, very powerfully, the Houthis, for their interference with commerce and trade, by shooting at ships. Since that time…they have acted very […]

Why Hasn't Oil Hit $150 (Yet)? Authored by Robert Rapier via OilPrice.com, Global oil inventories and floating storage have acted as temporary shock absorbers against the Hormuz disruption. OPEC spare capacity has stabilized markets, but it cannot fully replace lost Persian Gulf exports indefinitely. Prolonged disruption could eventually exhaust market buffers and trigger a much sharper oil price surge. I think most energy analysts would have been shocked to learn that roughly three months into a total closure of the Strait of Hormuz, oil would be trading at just over $100 a barrel. I...