Crude Oil Prices Surge Amid Ongoing Strait of Hormuz Tensions

The price of WTI and Brent crude oil is rising due to ongoing tensions in the Strait of Hormuz, which have caused disruptions in traffic. This has led to concerns about dwindling global reserves of crude oil.

According to market analysts, the technical signs on WTI suggest that the price is near an overbought level, but this is not a clear-cut trading opportunity. The price of crude oil is heavily influenced by geopolitical events and peace talks between parties involved in the conflict.

The weaker US dollar has also contributed to the rising gold price, which has been climbing due to the decline in USD value. The Canadian economy reported better-than-expected figures last week, while the US saw a dismal Non-Farm Payrolls report, leading to a divergence in interest rate expectations.