STX Green Logistics, a shipping company, saw its stock price surge on June 11 due to rising expectations of increased freight rates amid concerns over a potential blockade of the Hormuz Strait.
According to the Korea Exchange, as of 1:41 PM, STX Green Logistics shares were trading at 3,380 won, up 30.00% (780 won) from the previous trading day.
The surge in investor sentiment is attributed to Iran's announcement of plans to block navigation through the Hormuz Strait in response to the possibility of additional U.S. airstrikes.
On June 11, U.S. Central Command (CENTCOM) stated, "We have initiated additional defensive strikes against several targets in Iran," describing the actions as a response to Iran's unjust and ongoing provocations.
In retaliation for U.S. attacks, Iran declared a complete closure of the Hormuz Strait. The Iranian military's Supreme Joint Command, known as the Khatam al-Anbiya Central Command, announced on June 11 that it would block all vessels, including oil tankers and cargo ships, from passing through the strait.
The Hormuz Strait is a critical passage for global oil and liquefied natural gas (LNG) transportation. If a blockade or navigation restrictions are implemented, disruptions to shipping operations and rerouting are inevitable, raising the likelihood of increased freight rates.
STX Green Logistics primarily focuses on bulk shipping services, operating regular and irregular shipping lines, as well as transporting large quantities of raw materials.
* This article has been translated by AI.
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