US-Iran Deal Uncertainty Drives Oil Prices Near $90

Oil prices surged on Wednesday morning amid growing concerns over supply disruptions in the Middle East. The increase was driven by doubts over a potential US-Iran peace deal and attacks on shipping.

Brent futures rose by $0.72 or 0.81% to $89.63 per barrel, while US West Texas Intermediate (WTI) crude climbed by $0.71 or 0.85% to $83.91 per barrel at around 6:23 am IST on August 12.

The tensions in the region escalated after Iran's top security official Mohsen Rezaei said that the crucial Strait of Hormuz shipping route would remain closed unless the US accepted its conditions for ending the war. These conditions include releasing frozen Iranian assets and ending other regional conflicts.