US Naval Blockade Threat Triggers Oil Price Hike

Oil prices edged higher on Friday after the US threatened to maintain a naval blockade of Iran indefinitely, reviving concerns about crude supply.

The move comes as Iran continues to limit traffic through the Strait of Hormuz, which carried 20% of the world's oil before the conflict.

Brent futures rose 9 cents to $87.16 a barrel, while US West Texas Intermediate (WTI) crude futures rose 4 cents to $81.29 a barrel, according to data by 0130 GMT.

The threat of a longer war constraining supply was offset this week by forecasts from OPEC and the International Energy Agency lowering their outlooks for demand growth.