The Daily Journal.- Oil prices rose on Tuesday as negotiations between Iran and the United States to reopen the Strait of Hormuz remained stalled, fueling uncertainty over potential supply shortages in the Middle East.
In that context, Brent crude, the benchmark for European markets, reached $90.03 per barrel, climbing 2.6% to its highest level since July 31. Meanwhile, U.S. West Texas Intermediate (WTI) rose as much as 3%, reaching $84.61 per barrel.
The increase, which exceeded 5% on Monday, comes amid stalled diplomatic talks between the U.S. and Iran. The lack of an agreement has weakened expectations of stability and raised concerns among financial market participants over potential disruptions to maritime traffic through the Strait of Hormuz, which handles one-fifth of the world’s crude oil shipments.
Industry analysts warn that volatility will persist as long as President Donald Trump refuses to ease sanctions against Iran and continues military strikes against the country. Oil prices saw a slight correction following comments from Pakistan about a possible agreement. Nevertheless, oil prices remain elevated.
With information from teleSUR and Reuters
