The energy and financial markets are taking the war in the Middle East remarkably well, all things considered. Investors seem to believe that the war will be short-lived and perhaps are focusing on the bright side: The lost physical supplies of oil are maybe half as much as they could have been, partly because Iran is still allowing tankers from friendly nations to pass through the Strait of Hormuz. Today, Dr Ed reviews the current state of affairs, concluding that the blockade of the Strait might not be as dire a development as widely feared, including by us.
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