Iran's Strait of Hormuz Bill Sends Oil Prices Soaring
Oil prices surged on Thursday as concerns grew about shipping disruptions in the Red Sea. Brent crude futures settled up $3.04, or 3.83 percent, to $82.49 a barrel. US West Texas Intermediate futures settled up $2.07, or 2.75 percent, to $77.29.
An Iranian parliament committee is reviewing a bill that would ban US and Israeli vessels from the Strait of Hormuz and fine violators up to 20% of their cargo's value. This development has sparked concerns about potential disruptions to global oil supplies.
Crude traders are focused on the ongoing tensions between the US and Iran, with some predicting that prices will rise if the situation escalates further. 'The market is going up and down as tensions rise and fall,' said John Kilduff, partner at Again Capital.