Oil 'Powder Keg': Trump Says Hormuz Blockade May Last All Summer

And while the Trump administration has insisted that its ceasefire deal is still in effect, CNN reported on Wednesday that Iran launched attacks against US military bases in Kuwait and Bahrain after US forces fired a Hellfire missile at a Botswana-flagged oil tanker that was heading toward an Iranian port.

Iran also launched drone and missile strikes at Kuwait's international airport, killing one person and leaving dozens injured, according to Al Jazeera.

Oil industry expert Patrick De Haan on Tuesday warned that the price of oil will soon shoot back up if the Strait of Hormuz remains closed because US petroleum supplies, which have been drained at a rapid pace since the start of the war, are about to hit their lowest level in over two decades.

“US distillate inventories will likely fall under 100 million barrels for the first time in over 20 years, exacerbated by high exports due to the closure of the Strait of Hormuz,” De Hann wrote in a social media post.“This is a powder keg waiting to go off if a deal to reopen the strait doesn't happen soon.”

In an analysis published Wednesday, The American Prospect's Ryan Cooper similarly warned that the tricks used by nations around the world to keep a lid on oil prices, such as releasing petroleum reserves, would soon be ineffective thanks to hard supply constraints.