Hedge Fund CIO: If We Don't See a Signal That the Strait of Hormuz Is About to Reopen by Monday, Commodity Prices Will Explode Higher

March 8th — U.S. military operations in Iran sent oil prices surging, leaving Washington’s policy toolkit nearly depleted. Experts warn other U.S. measures will be negligible if the Strait of Hormuz doesn’t reopen quickly. Some experts have panned the Trump administration’s crisis management approach. Michael Alfaro, chief investment officer at energy and industrial hedge fund Gallo Partners, noted: “Many policy decisions or leaks from the government over the past 48 hours signal desperation to calm the oil market.” He added commodity prices will jump again if there’s no indication by Monday the Strait of Hormuz is set to reopen. But others have defended the White House’s strategy. Dan Brouillette, Trump’s first-term energy secretary, told the Financial Times the administration has a longer-term view than financial markets. “High oil prices are temporary,” he said. “Now is the time to oust this regime and end its decades-long extortion of the strait.” (Wall Street View)