Brent Crude Surges Past $91 as US-Iran Ceasefire Collapses and Tensions Soar
The global oil market is bracing for severe turbulence after Brent crude surged past $91 per barrel, following the collapse of the US-Iran ceasefire. The memorandum of understanding signed between Washington and Tehran in June expired on Monday with no successor deal in place.
The Strait of Hormuz, which facilitates up to 20 percent of total global oil flows, remains effectively blockaded. According to ship-tracking firm Kpler, only six commodity ships transited the waterway on Monday, a fraction of the pre-war average of 130 vessels a day.
US President Donald Trump issued a severe warning to Oman, stating that if they get in the way, 'we'll bomb the shit out of them.' This rhetoric has stagnated diplomatic channels and heightened tensions in the region.