Shipowners exercise caution amid sharp decline in shipping traffic through the Strait of Hormuz on Friday

On Friday morning, no oil tankers were seen leaving the Persian Gulf, but a very large crude carrier appeared off the coast of Muscat, the capital of Oman, indicating that the vessel had completed its passage through the strait. An Iranian-affiliated liquefied petroleum gas carrier and a Norwegian-flagged product tanker entered the Persian Gulf. Meanwhile, four fully laden very large crude carriers, which had been previously stranded inside the Gulf, are heading toward the strait. Two Indian-linked very large crude carriers set sail for the strait on Friday, while two others are moving east within the Gulf, reducing their distance to the strait.As the strait briefly calmed, the market began to question whether the US and Iran could finalize the disputed terms of the memorandum of understanding within the 60-day window. The planned bilateral meeting in Switzerland has been canceled; despite US discouragement, the Israeli military continues to strike southern Lebanon.Marisks, a maritime risk consultancy, stated in a research report to clients on Friday: “The outright cancellation of the first round of planned negotiations is a setback for the stability process in the region. If diplomatic dialogue cannot resume, maritime security conditions may remain volatile and all parties involved in shipping will continue to face uncertainty.”