Oil Prices Soar as Fading Hopes for US-Iran Deal Raise Supply Risks

Oil prices have risen as hopes for a US-Iran peace deal continue to fade. Iran has stated that it will adopt a more aggressive military stance, while the US has ruled out extending their temporary ceasefire agreement.

The Brent crude futures price climbed 0.7% to $91.49 a barrel, with US West Texas Intermediate crude futures up 0.9% at $85.25 a barrel. This marks the highest price since July 30 and July 31 respectively.

Tim Waterer, chief market analyst at KCM, attributed the jump in oil prices to 'US-Iran relations look increasingly shaky'. The lack of progress on peace talks has halted outward movement on negotiations and the resumption of oil tanker traffic through the Strait of Hormuz.