Donald Trump said he has the capabilities “to decapitate” Iran while answering a question from the press in the Oval Office about his own warning from a few days ago. “You will find out,” the president added, adding that the Strait of Hormuz “is completely open” and is “controlled only by the United States Navy which cleared it of mines.”
“Now it’s open. We are welcoming many ships. The only one who currently has control of the Strait of Hormuz is the United States Navy, with a blockade that has proven to be infallible. It’s a steel wall, and we let in whoever we want, and these people come in,” explained the head of the White House. “It’s a little complicated because, occasionally, they lay a mine, and we find them. You know, we’ve cleared the entire Strait of mines. Maybe you’ve heard it, maybe no, but we control this area 100%”, he added.
The uncertainty over Hormuz, however, pushed oil prices up by more than 5% in New York, steadily above 80 dollars, on the day in which US strategic reserves reached their lowest levels since January 1983. Crude oil continued to increase in New York and ended with the WTI, the American reference, at +5.23% at 82.7 dollars a barrel, while Brent, the international benchmark, recorded a progress of 45.12%, at 87.83. US stocks in the Strategic Petroleum Reserve (SPR), meanwhile, have fallen below 300 million barrels, to their lowest level in more than 40 years, with global supplies under pressure from the conflict involving Iran. Last week the Reserve fell by 6.1 million barrels, reaching 298.7 million, according to data released by the Department of Energy.
The reserve, established in 1975, is now at its lowest level since January 1983. President Donald Trump ordered the release of 172 million barrels in March after Iran blocked crude exports through the Strait of Hormuz, sending one of the biggest shocks to the energy supply chain. The draw on strategic oil reserves, whose authorized storage capacity is 714 million barrels, has raised questions on whether US government supplies are close to running out. The minimum amount of crude needed to ensure safe operation is about 70 million barrels, according to the Department of Energy. Meanwhile, energy pressures are also being felt in Europe. Natural gas futures (TTF) have returned to July levels, at the highest levels in two weeks, when there was still no talk of peace and the reopening of the Strait of Hormuz. The TTF increased by more than 10.3% to 61.31 euros per megawatt hour.
Donald Trump also stated that the relationship with Israeli Prime Minister Benjamin Netanyahu is “very good”, despite the differences over Gaza.