Oil settles up over US$2 as Iran war stalemate stokes supply concerns
Both brent crude and US WTI crude contracts gained more than 5% last week following attacks on tankers
Oil prices rose by more than US$2 on Monday due to global supply concerns stemming from investor doubts about diplomatic efforts to resolve the Iran war. US President Donald Trump demanded Iran's surrender and threatened to bomb Oman. Brent crude futures climbed to US$90.87 a barrel, up 2.65 per cent, while US West Texas Intermediate crude futures rose to US$84.50 a barrel, up 2.55 per cent.
President Trump stated the US had no interest in extending the memorandum of understanding with Iran and suggested Iran would not negotiate a deal acceptable to him. Iran's Foreign Minister indicated Teheran would intensify tensions in the Strait of Hormuz if the US failed to adhere to an interim peace deal. Oil prices remained near US$90 as traders weighed the risks of further disruption against the possibility of a resolution and a subsequent drop in prices.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
