Oil Prices Rise to Three-Week High Amid Hormuz Shipping Uncertainty
Oil prices climbed to a three-week high on Wednesday due to ongoing uncertainty over shipping through the Strait of Hormuz. Brent crude futures rose by $0.54, or 0.59%, reaching $91.56 per barrel, while U.S. West Texas Intermediate (WTI) crude increased by $0.59, or 0.69%, to $85.53 a barrel. The market remains supported by geopolitical tensions and supply disruptions in the region. Analysts noted that confidence in safe passage through Hormuz is low, with shipping volumes still below normal levels. U.S. President Donald Trump stated there were no ongoing talks with Iran and affirmed the strait was open, contradicting Iranian claims. The Strait of Hormuz handles about one-fifth of global oil and liquefied natural gas supplies, making its disruption a major concern for energy markets. Iraq has approved new mechanisms to export crude through international companies starting in September.
