Middle East Oil Tanker Threat Hits Worst Levels Since Iran War Began

The threat to oil tankers in the Middle East is at its worst since the Iran war began, according to experts. The warning comes after a spate of attacks on vessels in the Red Sea, an alternative waterway that some tankers had been using since Iran blocked the Strait of Hormuz.

In terms of threat to the trade of crude, we're at the worst period that we've been in since this crisis began, said Matthew Wright, an analyst at ship-tracking firm Kpler. The number of ships passing through the Strait of Hormuz was just eight on Sunday and 11 on Saturday, compared with more than 100 per day before the war began.

The temporary peace deal with the US struck in early June led to numbers rising again, but the resumption of strikes between the two countries roughly a month later have significantly reduced traffic. Many ships have been 'going dark' when crossing the strait, meaning they turn off their transponder to avoid detection.

Iran's foreign ministry spokesman Esmaeil Baqaei said any agreement would not lift the current restrictions while US 'aggression' continued. Oil prices fell sharply after Trump said he would cancel planned strikes on Iran based on the potential for upcoming talks. Brent crude was trading 4.4% lower at $84.05 a barrel, after it fell as much as 7.3% to $81.55 a barrel earlier in the day.