Iran's Proposed Shipping Curbs Send Oil Prices Soaring

Oil prices surged nearly 4% on Thursday after an Iranian parliament committee started reviewing a bill that would block US and Israeli vessels from the Strait of Hormuz, along with other ships deemed hostile. The proposed measure also includes fines of up to 20% of cargo value for violators.

The Brent crude futures rose $3.09, or 3.89%, to $82.54 a barrel, while US West Texas Intermediate futures increased $2.49, or 3.31%, to $77.71 by 12:37pm EDT.

Dennis Kissler, senior vice president of trading at BOK Financial, said that 'crude traders remain focused on the US-Iran agreements, and the longer the delays, the more prices will fade back to the upside.'