Theory of the Dud
Why do analysts keep predicting things will break?
Twenty percent of the world’s seaborne oil passes through the Strait of Hormuz. The Strait has now been practically shut for more than four months. Tanker transits recovered only partially after the MOU was signed a month ago.
Yet, Brent crude is at $70 per barrel. Indeed, even at the peak of the crisis, Brent stayed below the 2008 peak of $144.
By all accounts, the Hormuz dog failed to bark. Why?
