Qatar, UAE Can Survive Hormuz Closure, Says Ed Morse

• Qatar and UAE are financially resilient due to external LNG investments (Qatar) and internal diversification/renewable energy projects (UAE).
• Iran faces significant economic hardship with high unemployment and inflation, making its leadership's position precarious.
• The Strait of Hormuz is unlikely to be 'totally free' again, but global oil intensity of GDP is declining, reducing reliance on the Strait.
• Saudi Arabia and UAE are actively weaning themselves off oil for domestic power generation, freeing up more oil for export.
• An 'oil glut' is emerging globally, with countries like UAE and Iraq planning significant production increases, challenging the notion of sustained high oil prices.

Ed Morse discusses the resilience of Qatar and UAE to potential disruptions in the Strait of Hormuz, citing their diversified investments and energy strategies. He highlights Iran's economic struggles and the Trump administration's misjudgment of the situation. Morse also points to a broader trend of declining global oil intensity and an emerging oil glut, despite geopolitical tensions.