Strait of Hormuz Traffic Normal by September 30The Panama Canal is experiencing increased fees and potential reductions in shipping quotas due to the combined pressures of the El Niño weather phenomenon and geopolitical tensions involving the Strait of Hormuz. AdvertisementThe Panama Canal Authority has implemented water-saving measures due to decreased water levels in key reservoirs such as Gatún and Alhajuela. Key TakeawaysMarket pricing suggests a significant decrease in confidence regarding a return to normal Strait of Hormuz traffic levels by September 30. The combination of El Niño-induced drought and geopolitical tensions has led to increased fees and potential shipping restrictions in the Panama Canal. Additionally, any changes in the water levels at the Panama Canal or further geopolitical escalations in the Middle East could influence market dynamics.