In its monthly report published today, the International Energy Agency (IEA) stated that it expects the global oil market to gradually recover with the peace agreement that will reopen the Strait of Hormuz to traffic and to experience a serious excess supply in 2027.
With the United States and Iran reaching an agreement to end the war that has been going on for more than three months, Iran is expected to reopen the Strait of Hormuz to traffic and the United States will lift the blockade of Iranian ports.
The oil market will rebound with the end of the war, which led to a drop of more than 14 million barrels per day in Middle Eastern oil production and the largest oil supply disruption in history, according to the IEA.
