The grim choice facing the Trump administration: Economic or naval collapse? The Trump administration is currently trapped between the specter of a global economic recession and a naval catastrophe. As the conflict with Iran intensifies, the world’s energy arteries are constricting to a point of “nonlinearity,” where every day the Strait of Hormuz remains closed doesn’t just double the economic pain—it multiplies it exponentially. The administration is working to resolve the oil crisis on several fronts: It’s scrambling to organize a complex military operation to restart the flow of oil tankers through the strait while determining ways to alleviate prices by taking action in the markets. It also launched a PR campaign to assure the public that any pain at the pump is likely to be short term. Yet inside the Pentagon and the West Wing, the math is becoming grim. Brent crude, the international oil benchmark, has surged past $100 a barrel. The lack of oil flowing through the global market has slowed production to a crawl and is rapidly approaching the tipping point where major producers shut it down altogether due to storage constraints. Kuwait, Iraq, and the UAE are shutting off wells as storage tanks overflow. Once these wells go dark, they cannot simply be flipped back on, creating a looming supply crater that would create a cascading effect on the global economy. Workers walk across pipelines at the Rumaila oil field. “These kinds of market conditions, if they last or get worse, are going to force a reality where there’s going to have to be a reconsideration of the scale and scope of this operation,” a former senior administration official told CNN. “There is an urgent need for a near-term solution, and the White House is aware of that fact.#iran #strait_of_hormuz #trump_administration #us_navy #kwait
Ohio State University President to Resign Following Disclosure of Inappropriate Relationship The Ohio State University will soon be led by a new president after the board of trustees accepted the resignation of Walter “Ted” Carter Jr., the institution’s 17th leader. Carter, who assumed the role in January 2024, announced his decision to step down following the disclosure of an “inappropriate relationship” with an individual who sought public resources to support her personal business. In a statement released by the university, Carter acknowledged his mistake, stating, “For personal reasons, I have made the difficult decision to resign from my role as president of The Ohio State University. I disclosed to the board of trustees that I made a mistake in allowing inappropriate access to Ohio State leadership.” The board confirmed that Carter had voluntarily offered his resignation, citing the nature of the relationship as a critical factor in his decision. Carter’s tenure at Ohio State followed his previous role as president of the University of Nebraska, where he served from 2020 to 2024. Before his academic leadership positions, he served as a former Vice Admiral in the United States Navy. The university’s board expressed appreciation for his contributions during his time in office, noting his efforts to advance the institution’s mission and growth. The board emphasized that it would provide updates on the transition process in the coming days, though specific details about the next president or timeline for the search were not disclosed. Carter’s statement concluded with gratitude for the university community, stating, “Lynda and I leave Ohio State with gratitude and appreciation for this wonderful community.#ohio_state_university #walter_ted_carter_jr #board_of_trustees #university_of_nebraska #us_navy
European stock markets rally after report of ‘secret outreach’ by Iran to try to end war European stock markets surged on Wednesday following a report that Iran is engaging in a "secret outreach" to end the war in the Middle East, reversing earlier losses. The UK’s FTSE 100 climbed over 50 points, while the pan-European Stoxx 600 index rose 1.2%, with Germany’s DAX gaining 1.3%, France’s CAC 40 up 0.8%, and Italy’s FTSE MIB increasing 1.7%. The report, published by the New York Times, claimed that Iranian operatives from the Ministry of Intelligence contacted the CIA days after the conflict began, offering to discuss terms for a ceasefire. However, officials remain skeptical about the feasibility of such talks in the short term, citing doubts over Iran’s readiness and the impact of Israeli strikes that have eliminated many senior Iranian officials. The market rebound followed a sharp decline in global indices earlier in the week, driven by fears of prolonged conflict. On Wall Street, the Dow Jones fell 0.1%, while the Nasdaq rose 0.5% and the S&P 500 edged up 0.15%. The US dollar weakened by 0.2% as investors shifted away from safe-haven assets, and oil prices retreated, with Brent crude dropping to around $81.20 after a previous 3% gain. European natural gas futures also reversed earlier gains, falling 9.5% after a 60% surge over two days. Rabobank’s energy strategist Florence Schmit noted that while the report suggests Iranian openness to dialogue, a return to pre-March price levels would depend on a cessation of attacks. The Middle East conflict has severely disrupted the Strait of Hormuz, a critical global energy route, with shipping through the waterway nearly halted. The world’s largest liquefied natural gas plant in Qatar remains closed, exacerbating concerns about a potential supply crisis.#iran #strait_of_hormuz #new_york_times #cnn #us_navy
US Navy May Escort Oil Tankers Through Hormuz Amid Rising Energy Prices President Donald Trump announced on Tuesday that the US navy could begin escorting oil tankers through the Strait of Hormuz if necessary, marking one of the administration’s most aggressive moves to address soaring energy prices linked to the escalating US-Israel conflict with Iran. The decision comes as tensions in the Middle East threaten critical shipping routes, with global crude prices surging following attacks on Iranian energy infrastructure and Iranian retaliation against Israeli and US forces. Trump ordered the US International Development Finance Corporation (DFC) to provide political risk insurance and financial guarantees for maritime trade in the Gulf, aiming to stabilize energy markets. The DFC, established in 2019, partners with private investors to support projects in developing nations. However, industry experts remain skeptical about whether military escorts and financial assurances will curb price spikes, as the conflict has already disrupted oil exports from the region. The war has led to significant disruptions in Middle Eastern oil shipments, with Tehran attacking ships and energy facilities, closing navigation in the Gulf, and halting production in countries like Qatar and Iraq. Global oil and gas prices have risen sharply, exacerbating economic concerns worldwide. Markets have reacted with volatility, with the Nikkei 225 in Tokyo dropping 1.7% and the Kospi in Seoul falling 3.1% on Wednesday. Wall Street, however, is expected to open flat. Trump emphasized his commitment to ensuring the free flow of energy, stating, “No matter what, the United States will ensure the free flow of energy to the world.#iran #trump #strait_of_hormuz #us_navy #us_international_development_finance_corporation
