WSJ Opinion: Potomac Watch The War in Iran Shifts to the Strait of Hormuz
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Mar 16, 2026 Discussion centers on the sudden shift of the conflict to the Strait of Hormuz and risks to a vital oil chokepoint. They debate why oil spiked toward $100 a barrel and how it compares with past price shocks. Conversation covers whether allies can help secure Gulf shipping and the limits of naval responses. Panel explores political fallout from higher gas prices and how the Fed might react to energy-driven inflation.
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U.S. Energy Decoupling Cushions The Economy
- U.S. resilience to energy shocks is stronger due to increased domestic production and partial decoupling from Middle Eastern supplies.
- Joe Sternberg warns Europe and Asia remain more exposed because they haven't decoupled and rely on Mideast energy.
Insurance And Attacks, Not Just Declarations, Close The Strait
- Iran claims it only blocks U.S. and Israeli tankers, but attacks and insurance spikes deter global shippers and effectively close the Strait of Hormuz.
- Paul Gigot explains insurance costs and tanker attacks reduce transits even if some flagged ships could pass.
Push Allies To Patrol But Mind Trade Frictions
- Allies should be pressed to help patrol the Gulf because their economies, especially in Asia, depend on Middle Eastern energy.
- Alicia Finley warns Trump’s tariffs and Section 301 threats could complicate persuading allies like Japan and South Korea.