Fighting between the United States, Israel and Iran has spilled into the Strait of Hormuz, a key global energy chokepoint, sending oil prices surging.The narrow waterway, which carries about one-fifth of the world’s oil supply and major volumes of gas, has seen traffic drop sharply following reported Iranian attacks on tankers. At least five vessels have been damaged, two people killed and roughly 150 ships left stranded near the strait, which lies between Iran and Oman.An Iranian Revolutionary Guard commander declared the strait “closed,” warning that vessels attempting to pass would be set “ablaze.” Maritime analysts say traffic has fallen by around 80%, with many shipping firms and insurers pulling back.Oil prices rose above €68 per barrel on Monday, up from €63 before the weekend’s US-Israeli strikes on Iran. Insurance premiums had already hit a six-year high before the escalation.Most crude moving through the strait heads to Asia, particularly China, India, Japan and South Korea. Europe also relies on the route for jet fuel, while about 20% of global liquefied natural gas passes through it.Although a prolonged shutdown would also hurt Iran, experts warn that even temporary disruption is driving up freight costs and delaying deliveries as ships reroute around southern Africa.While energy producers may benefit from higher prices, analysts say the wider impact on global supply chains could be significant if tensions persist.What do you make of this?•