Iran Ultimatum to US on Hormuz
Iran's supreme joint military command issued a stern warning regarding the Strait of Hormuz on Monday (July 13th). Iran emphasized that it will not allow the United States to interfere in the management of this strategic shipping lane.
Iran stated that any US attempt to pass through the Strait of Hormuz without Tehran's permission will be met firmly. This statement exacerbated tensions between the two countries, after the US and Iran previously had conflicting claims regarding the status of the shipping lane.
Tehran also warned regional countries against cooperating with Washington. According to Iran, any form of support for the United States would be considered an act of war against Iran.
Iran added that if the conflict escalates, the impact will not be limited to the US and Iran but could reach all countries in the region. Tehran believes that responsibility for the escalation of the war will lie with the United States and its allies.
As for the market impact, this statement has the potential to keep oil prices high, as the Strait of Hormuz is a vital route for global energy trade. The US dollar could receive support from safe-haven demand, while gold and risk assets could potentially fluctuate following geopolitical developments. (arl)
Source: Newsmaker.id