Brent Crude Hits Four-Week High as Hormuz Risks Keep Oil Markets on Edge

Oil prices are holding steady near four-week highs as concerns over supply risks in the Middle East continue to drive up prices. The unresolved US-Iran conflict has kept tensions elevated, with Brent crude trading around $93.5 a barrel and WTI near $86.5.

The Strait of Hormuz remains a key pressure point for oil markets, with only seven commodity vessels crossing the waterway on Thursday, down from 14 a day earlier. This has led to reduced Gulf exports from producers like Saudi Arabia, Iraq, the UAE, and Kuwait, which could persist if shipping conditions fail to normalize.

IG analyst Tony Sycamore notes that Washington and Tehran are increasingly entrenched, leaving crude vulnerable to further gains as neither side has much room to let the confrontation drag on indefinitely. BMI also sees risks skewed higher due to disruption spanning both Hormuz and the Red Sea.