Oil Prices Spike as Iran Sets Conditions for Reopening Strait of Hormuz

Oil prices rose on Monday as Iran's demands for reopening the Strait of Hormuz raised concerns over prolonged disruptions to global energy markets.

International benchmark Brent crude futures for October delivery climbed 1.09% to $84.46 a barrel, while US West Texas Intermediate futures for September rose 0.84% to $78.84.

Iranian Foreign Minister Abbas Araghchi said Sunday that the strategic waterway would not reopen until Washington meets conditions including easing sanctions and paying war reparations.

'The Strait of Hormuz remains effectively closed,' Westpac said, adding that uncertainty remains high as the Iran war enters its sixth month.