World faces largest oil supply shock in history after closure of Strait of Hormuz

The Middle East war has triggered the largest oil supply shock in modern history as the closure of the Strait of Hormuz has disrupted supply of nearly 20 million barrels oil per day. The current supply disruption is far larger than previous historic shocks. The Iranian Revolution (1978-79) disrupted 5-6 million barrels, while Iran-Iraq War (1980) disrupted 4 million barrels/day.