Hormuz Closure Sends Oil Prices Soaring Amid Geopolitical Tensions

Crude oil prices have been hovering near two-week highs due to ongoing tensions between the US and Iran, as well as concerns over supply disruptions in key maritime routes.

The Strait of Hormuz remains closed, with Iranian officials stating that it will not reopen until Tehran's conditions are met. This has added to uncertainty for shipping operators and energy markets, despite US President Donald Trump asserting 'total control' over the waterway.

Brent crude futures for October touched an intraday high of $90.06 before slipping 0.6% to $88.38 a barrel. U.S. West Texas Intermediate crude for September fell 0.7% to $82.63 a barrel.

The International Energy Agency (IEA) expects global oil demand to decline by 1.6 million barrels per day in 2026, while estimating that 8.3 million barrels per day of Gulf production remains offline.