US Blockade Leaves Iran’s Floating Oil Stocks Near Exhaustion

Iran’s oil held in floating storage has nearly been depleted amid the US naval blockade, according to a report by the *Wall Street Journal*, citing data from Kpler. The decline could add further pressure to global oil supplies as Iranian crude shipments face increasing restrictions.

“There’s no more oil to discharge to China anymore,” said Homayoun Falakshahi, Kpler’s head of crude oil analysis, as quoted in the report.

Before the United States imposed a blockade on Iranian ports in April, Iran held nearly 150 million barrels of oil in floating storage. This volume fell to below 50 million barrels by mid-June, when Washington lifted the blockade following a ceasefire agreement between the two countries.

However, the agreement collapsed in mid-July, hostilities resumed and the US reinstated the blockade. By mid-October, Iran’s floating oil inventories had fallen dramatically to just 866,000 barrels, according to Kpler data.

Falakshahi said the US appears to be betting that economic pressure will either push Iran’s leadership back into negotiations to accept a nuclear agreement or trigger domestic protests that the government may struggle to contain.

However, the economic consequences are not limited to Iran, making the situation more complicated for Washington. Fuel prices remain at record highs, particularly diesel, while President Donald Trump’s approval ratings have declined ahead of the November midterm elections.

Iran has rejected claims that its economy is nearing collapse. The country’s central bank governor said the Iranian economy had demonstrated considerable resilience and described suggestions of an imminent economic collapse as an illusion, according to the *Wall Street Journal*.

Meanwhile, prospects for a peace agreement remain limited. Iran’s president and foreign minister signaled this week that they do not trust the United States, making negotiations more difficult.

The conflict is also carrying a substantial financial cost for Americans. Earlier this month, Moody’s estimated that the Iran war had cost US households a total of $265 billion.

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