Oil Prices Soar on Tanker Attacks and Stalled Ceasefire Talks

Crude oil prices surged on Friday due to tanker attacks and stalled ceasefire talks between the US and Iran. Brent futures settled at $88.52 a barrel, up $1.45 or 1.67 percent, while US West Texas Intermediate crude futures finished at $82.40, up $1.15 or 1.42 percent.

Andrew Lipow, president of Lipow Oil Associates, said the attacks and lack of progress on a cease-fire agreement were driving the rally. He warned that if traffic in the Strait of Hormuz remains constrained, a 'day of reckoning' may come, as 20 percent of global supply passes through this channel.

The US has threatened to maintain a naval blockade of Iran indefinitely and increase economic pressure on Tehran. Treasury Secretary Scott Bessent said measures like never seen before would be applied to isolate the country economically.