Hormuz Talks Collapse: Oil Prices Take a Hit

Oil prices have taken a hit after negotiations between Iran and Oman failed to resolve issues in the Strait of Hormuz. Despite ongoing security threats, tankers continue to move through the Gulf, often turning off their tracking systems to avoid trouble.

The recent attacks on vessels belonging to ADNOC and Saudi Arabia's Jazan refinery have pushed back plans to restart operations and disrupted trade in the Red Sea. This has led to a price drop, but oil remains over 40% higher than it was at the start of the year.

The International Energy Agency warns that supplies could become even tighter soon, while a shipment headed for the US might provide some relief. Domestic reserves are currently at their lowest level in eight years.