Oil prices rise in global markets as tensions between the United States and Iran continue to weigh heavily on supply expectations. The absence of any breakthrough in peace negotiations has kept crude prices elevated above the $100 mark.
Brent crude futures rose by $1.22, or 1.1%, reaching $109.39 per barrel at 0909 GMT. This recovery followed a sharp decline of $2.23 in the previous trading session, reflecting ongoing volatility in the energy market.
US West Texas Intermediate (WTI) also recorded gains, increasing by $1 or 1% to $102.94 per barrel. Despite earlier losses, the market remained supported by geopolitical uncertainty and supply disruption risks.
Analysts say oil prices rise mainly due to restricted oil flows through the Strait of Hormuz, one of the world’s most critical shipping routes. Any disruption in this corridor significantly impacts global energy supply chains.
The situation intensified as military tensions continued in the region. Iran issued warnings regarding US involvement in the Strait, while the United States announced plans to assist stranded ships to ensure safer passage.
Negotiations between Washington and Tehran remain ongoing but without a clear agreement. The lack of a US-Iran deal continues to keep markets on edge, with traders closely watching diplomatic developments.
At the same time, the Organisation of the Petroleum Exporting Countries and allies (OPEC+) announced a production increase of 188,000 barrels per day. However, analysts believe actual supply impact may remain limited due to ongoing regional instability affecting exports.
