The statement said that G7 energy ministers supported, in principle, the implementation of proactive measures in order to address the current market situation. And among those measures, it includes the use of strategic oil reserves.

Well, this is nothing new as it has been talked about since Monday already. However, we’re still yet to see official action be taken.

Coming up later today, French president Macron is hosting an emergency call to discuss the ongoing US-Iran conflict and its impact on global energy markets. In particular, it is to talk over the energy situation and the Strait of Hormuz. The meeting is scheduled for 1400 GMT.

It is more than likely we will see this as the official approval step by G7 leaders to coordinate the release of emergency oil stockpiles. But we’ll wait and see on that.

For some context, G7 finance ministers already met virtually on Monday to discuss the initial proposition. And France’s finance minister Lescure said that they were “not there yet” yesterday here. So far, the threat has worked but you can bet that the G7 and IEA will want to bide their time before digging deep into the pockets as this will be their best bet in trying to suppress oil prices.

If the war is prolonged, it would be a missed opportunity to have acted so early on. As such, one can definitely assume that G7 leaders will be wanting some assurance or affirmation from Trump that he will look to put an end to the conflict sooner rather than later. In any case, the current situation is already a big test of the Trump put in markets as it is seeing everything that he hates happen all at once.

Just keep in mind that while the US claims that Iran has been heavily incapacitated, the Strait of Hormuz remains in de facto closure. Despite the deceitful headlines by Washington yesterday, passage through the strait remains perilous. In the past hour itself, the UKMTO has said that a cargo vessel was hit by an unknown projectile along the strait.

And according to Kpler data, there were just seven vessels (four tankers and three bulk carriers) that have crossed the Strait of Hormuz since 6 March.