Iran Vows to Keep Strait of Hormuz Under Its Control as Tensions Rise; Trump Says Higher Gas Prices Are the Cost of Containing Tehran's Nuclear Ambitions

Huo Xing Finance reported on Aug. 15 that U.S.-Iran tensions continued to intensify, with oil transit through the Strait of Hormuz still effectively halted. Iran said navigation will not resume unless Washington accepts what Tehran called the "reality of failure" and ends its pressure campaign. Iranian Deputy Foreign Minister Gharibabadi said the decision to open or close the Strait of Hormuz rests with Iran. He added that as long as the U.S. "refuses to accept defeat and continues to harbor illusions," restrictions on shipping through the strait will remain in place. Reuters noted that prior to the confrontation, the Strait of Hormuz carried roughly one-fifth of global oil supplies. Tanker flows have since plunged. Shipping tracker Kpler reported that only two vessels transited the strait on Friday, with no crude cargoes recorded, a sharp contrast to pre-conflict traffic of more than 130 vessels a day. Speaking at a political rally in New York, U.S. President Donald Trump argued that higher gasoline prices are a price Americans must pay to stop "evil nations" from obtaining nuclear weapons, urging consumers to accept "slightly higher" oil costs. American Automobile Association (AAA) data showed the U.S. average gasoline price at about $4.08 per gallon, up 29% from a year earlier. Oil markets also reacted, with Brent crude futures up about 6% this week and WTI crude futures gaining roughly 5.4%. Iran is also feeling economic strain. President Masoud Pezeshkian said U.S. port blockades and sanctions on Iran's oil exports have intensified inflation pressures at home. Peace talks between the two countries have not resumed. U.S. Treasury Secretary Scott Bessent said additional Iran-focused economic measures will be announced next week. Separately, Iran-backed Houthi forces launched a new wave of attacks in Yemen, adding to concerns about a broader regional escalation.