Oil Prices Rise Amid Middle East Tensions and Stalled Iran Talks
Oil prices rose on Wednesday after attacks on two vessels in the Middle East heightened concerns over potential disruptions to energy supplies. The US-Iran talks have stalled, with a senior Iranian source stating that there were no talks between Iran and the United States over extending the ceasefire.
The Strait of Hormuz, one of the most important routes for Middle Eastern oil and gas exports, saw a significant decrease in vessel traffic on Tuesday, with only eight ships passing through the waterway. This is down from the typical 125-140 vessels per day before the war began.
US West Texas Intermediate (WTI) crude climbed 24 cents to $83.44 a barrel, while Brent crude futures rose 2 cents to $88.93 a barrel. However, investors briefly gave up those gains as they turned their attention to US crude inventory data, which showed a potentially significant build in stockpiles.