The severe disruption at the Strait of Hormuz, where tanker traffic has plummeted to just seven vessels daily, sets the stage for a prolonged supply crunch that could push Gasoline prices to unprecedented levels. As Donald Trump escalates rhetoric against Iran, any further attacks on energy infrastructure or shipping lanes will likely reignite fears of a global shortage, keeping crude benchmarks like WTI under intense upward pressure. This geopolitical volatility is already feeding into a sticky U.S. Inflation environment, with recent data showing price surges that complicate the Federal Reserve's path forward. While the S&P 500 recently rebounded on ceasefire hopes, the market will remain fragile as long as the flow of oil through the strait remains critically constrained. Investors should watch for any sudden shifts in transit numbers, as even a brief return to normalcy could stabilize prices, but a continued blockade threatens to deepen the inflationary spiral.