Diesel Prices Rise Faster Than Crude Amid Strait of Hormuz Disruption

Iran's blockade of the Strait of Hormuz initially cut off approximately 20 million barrels of oil per day from global supply. The disruption has had an outsized impact on diesel prices, which have surged more sharply than crude oil in global markets. Saudi Arabia has responded by rerouting some of its oil exports through the Red Sea to mitigate supply losses. Additionally, some tankers have gradually resumed transits through the affected waterway, offering partial relief to strained supply chains.
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