Hormuz Reopening Hinges on US Compensation: Oil Prices Rise

Oil prices rose on Monday due to uncertainty over the reopening of the Strait of Hormuz. Iran said a deal with Oman defining new shipping lanes was in its final stages, but insisted that the US must meet other conditions before the waterway reopens.

The US is required to provide compensation to Iran for its widespread attacks, which has been a sticking point in negotiations.

Brent crude futures rose 1.09% to $84.46 a barrel, while US West Texas Intermediate crude futures rose 0.78% to $78.79 a barrel.

Iran and the US are not engaged in talks, according to Iranian Foreign Minister Abbas Araqchi, who stated that Tehran will not start negotiations as long as Washington breaches an interim deal signed in June.