Oil Prices Surge Amid US-Iran Diplomatic Deadlock

Oil prices rose for the second consecutive day on Thursday, with Brent crude futures increasing by 43 cents to $103.51 per barrel and West Texas Intermediate (WTI) futures climbing by 35 cents to $92.51 per barrel.

The gains were driven by a lack of progress in diplomatic talks between the United States and Iran, which have been ongoing for some time.

Priyanka Sachdeva, head of market insights at Phillip Nova, noted that Brent retains a larger geopolitical premium due to its exposure to Middle East disruptions, while WTI benefits from relatively insulated US supply.

The Strait of Hormuz remains closed, with Iran's security chief Mohsen Rezaei stating that it will not be reopened until Iran's conditions are met. US Secretary of State Marco Rubio emphasized that a deal with Iran would require hard work over a period of time and involve military options if necessary.