A lot of gas trapped, oil reserves tapped, and Live Nation gets a (tiny) cap

The average price of a gallon of gas in the U.S. hit $3.58 on Wednesday, up roughly 20% over the past month. The cause is the largest disruption to global oil supply in history: a near-total halt of shipping through the Strait of Hormuz, a narrow waterway that normally carries 20 million barrels of oil and petroleum every day — about 20% of all the oil the world consumes. On this episode of The Indicator, the hosts break down the mechanics of the crisis, the unprecedented international response, and a separate Justice Department settlement that caps Ticketmaster fees at 15%.

The Strait of Hormuz: 20 Million Barrels Trapped

Darian Woods led with the number 20. That is the 20 million barrels of oil per day that normally transit the Strait of Hormuz, a chokepoint between the Persian Gulf and the Gulf of Oman. Shipping along that route has all but stopped due to the U.S.-Israel war with Iran. To put the scale in perspective, Woods noted this is "the largest disruption to oil ever — far more than was blocked during the Iranian revolution." Because oil is a global commodity sold at world prices, the U.S. is not shielded despite being a net exporter. "Energy independence only gets you so far," Woods said. The result is visible at the pump: gasoline prices have climbed roughly 20% in a month. While the U.S. economy uses oil more efficiently than it did during the 1970s oil crisis