Strait of Hormuz Threat Level Raised to Severe After Three Tanker Attacks

The Joint Maritime Information Center upgraded the threat level for the Strait of Hormuz to severe on July 7 after at least three vessels were attacked in the waterway over the previous 24 hours, with the possibility that as many as five ships were struck.

IRGC forces struck the Qatari LNG tanker Al Rekayyat and a Saudi crude tanker. An unidentified vessel was struck by a drone, according to UKMTO.

The Al Rekayyat, owned by Qatar's state shipping company Nakilat and fully loaded at the Ras Laffan export terminal, was hit by a projectile about 8 nautical miles east of Limah, Oman, early on July 7. The attack involved either an Iranian suicide drone or a missile strike that caused a fire. No casualties were reported.

Vessel traffic through the strait fell to 16 commercial crossings on July 7, down from 25 the previous day. Brent crude rose more than 1 percent to $72.76 a barrel. European natural gas prices surged as much as 6 percent, the largest gain in a month.

Gold fell as much as 1.2 percent to below $4,120 an ounce. Iran's Foreign Minister Abbas Araghchi warned on July 7 that negotiations on a final deal will not commence if threats continue. President Trump is scheduled to attend a NATO summit in Ankara on July 7 where the Iran conflict is expected to be discussed.

Iranian President Masoud Pezeshkian will travel to Iraq on July 7 to attend funeral processions for former Supreme Leader Ali Khamenei. France lowered its 2026 GDP growth forecast to 0.7 percent from 0.9 percent, citing the Middle East conflict. Two supertankers hauling Saudi crude are heading to the United States for the first time since February.

India's state-run refiners are in talks with traders marketing Iranian crude and preparing to buy barrels if the United States extends waivers beyond August or eases restrictions.