Oil Prices Rise Amid Ongoing Geopolitical Tensions Over Strait of Hormuz

Oil prices are rising due to concerns over global crude supply amid ongoing geopolitical tensions. The market is focused on negotiations between Iran and Oman over shipping arrangements through the Strait of Hormuz, which remains a critical chokepoint for energy supplies.

The proposed deal could grant Iran greater control over vessels entering the Persian Gulf, potentially paving the way for a partial restoration of traffic through the waterway. However, investors remain cautious after previous attempts to reach a lasting agreement failed.

Shipping data indicate that crude oil and condensate exports from Gulf countries are approximately 40% below pre-conflict levels, highlighting that physical supply has yet to fully recover.