Hormuz Deal Remains Elusive as Oil Prices Spike

Oil prices surged on August 11 as tensions in the Middle East remained high. A deal to reopen the Strait of Hormuz, a critical shipping route, between Iran and Oman seems elusive.

Brent futures settled near US$87 a barrel after climbing more than 5% over the previous three sessions. Iran said that a deal was 'very close,' but reiterated on Monday that reopening Hormuz would require the US to end its blockade of Iranian shipping and compensate for damages.

Strikes across the region kept the market on edge, with another tanker operated by Abu Dhabi National Oil Co. targeted in Hormuz over the weekend and an attack on Saudi Arabia's Jazan refinery by Iran-backed Houthi militants in Yemen.