Oil Prices Bounce Back Amid Ongoing Iran-US Standoff

Crude Oil prices have recovered some of their losses from earlier this week, reaching $83.50 on Thursday after gaining 2.52% and surpassing its session low of just above $80.00 printed at 07:00 GMT.

The price has bounced back from the earlier drop, with a sharp increase in the final leg of trading before 18:00 GMT, pushing the barrel through its own ceiling at $82.50 and reaching a high just short of $84.00.

The Iran-US standoff remains a major concern for oil markets, with both sides refusing to accept the June framework signed at Versailles as a reopening mechanism. Washington has refused to go back to the memorandum, deeming it too soft, while Tehran's Revolutionary Guard continues to shut down the Strait of Hormuz until the US resumes implementing the agreement.

Despite the ongoing tensions, oil prices have shown a pattern of buying and returning since April, with each rebound following the same pattern. The physical constraint remains in place, with no change in the blockade or tanker activity.