Oil Prices Soar Amid Iran-US Stalemate Over Hormuz Control
Brent Crude oil prices rose above $89 per barrel in early European trade on Wednesday due to ongoing tensions between Iran and the United States over control of the Strait of Hormuz.
Iran stated that the Strait will remain closed unless the US ends the war and meets Tehran's conditions, raising the bar for a deal to restore oil traffic through the key waterway.
US President Donald Trump contradicted Iran by claiming that the United States has 'total control' over the Hormuz Strait, stating 'We own it.' However, despite claims of talks in recent days, the US and Iran appear to be at a stalemate, according to Wendy Sherman, former US deputy secretary of state.
Sherman said, 'Unless the US is ready to either allow Iran and perhaps Oman to have voluntary tolls or to give Iran so much relief from sanctions and frozen assets that it's worth their while, I don't think we'll get it open for any sustainable period of time.'