Oil Prices Surge as US-Iran Peace Deal Hopes Fade Again
Oil prices have surged to near three-week highs as hopes for a US-Iran peace deal continue to fade. The escalation of tensions in the Middle East has led to concerns about prolonged energy supply disruptions.
Brent crude futures were up 20 cents, or 0.22%, to $91.07 a barrel at 1203 GMT, while US West Texas Intermediate crude futures rose 49 cents, or 0.58%, to $84.99 a barrel.
The lack of progress on peace talks and the resumption of oil tanker traffic through the Strait of Hormuz has halted, threatening to extend the conflict launched by the US and Israel with attacks on Iran on February 28.
Iran's top negotiator, Mohammad Baqer Qalibaf, said that his country will keep the Strait of Hormuz closed until the US meets the conditions of the interim deal signed in June. Trump had previously labelled that deal 'over.'