Hormuz Crisis Explained | Oil Hits $126, UAE OPEC Tensions Rise, Global Economy On Edge

The world’s energy lifeline is under siege. The Strait of Hormuz—through which nearly 20% of global oil flows—remains effectively shut amid the US-Iran-Israel conflict. Donald Trump claims control over the strait, while oil prices surge past $126 per barrel. Meanwhile, Qatar Energy has declared force majeure, disrupting global gas supply. In a major shift, the United Arab Emirates has exited OPEC+, signaling deeper cracks in global energy coordination. With shipping crippled and insurance costs soaring, the world now faces a looming energy and economic crisis.