Hormuz Deal Sparks Oil Price Surge Ahead of $100

Oil prices are nearing $100 per barrel as tensions in the Middle East continue to rise. The global benchmark, Brent oil, is within striking distance of triple figures after rallying last week on a flare-up in hostilities between the US and Iran.

The Iranian government has announced that an agreement with Oman to manage shipping through the Strait of Hormuz is imminent, which could lead to temporary safe routes for vessels. However, this move has raised questions about how the US would respond after striking Iranian tankers over the weekend.

Tehran has also warned ships passing near Oman that they face the risk of attack. The situation remains volatile, with markets pricing in a prolonged Mideast conflict and shipping disruptions persisting into 2027, according to Goldman Sachs Group analysts.