The US military has announced it will enforce a blockade on all Iranian ports in the Strait of Hormuz from Monday, after ceasefire talks with Iran over the weekend ended without an agreement. The move follows weeks of conflict in the Middle East launched by the US and Israel, which caused significant damage and loss of life but failed to topple Tehran's regime or end its nuclear ambitions.
The strait has emerged as Iran's most effective weapon in its asymmetric war with the US. Iran's effective closure of the vital waterway, through which about 20% of the world's oil and gas supply previously moved, has resulted in a global economic crisis. The consequent rise in the oil price has fuelled fears of damaging inflation, while exports of other vital goods, such as fertilisers required for food production, have collapsed.
President Donald Trump has been left scrambling to respond to the fallout, and on Sunday threatened to impose his own blockade—a move that pushed global markets into another period of deep uncertainty. The announcement has left markets in yet more uncertainty, with questions over how the blockade will be enforced.
