US Threatens Indefinite Blockade of Iran, Oil Prices Surge

Oil prices rose on Friday after the United States threatened an indefinite naval blockade of Iran, raising concerns about disruptions to crude supplies from the Middle East.

Brent futures were up $1.43, or 1.64%, to $88.50 a barrel at 0810 GMT, while U.S. West Texas Intermediate crude futures were up $1.56, or 1.92%, to $82.81 a barrel.

SEB Research's Bjarne Schieldrop said the latest approach by the U.S. implies a substantial extension of the trouble in the Middle East with little hope of a near-term resolution.

The U.S. warned it could maintain a naval blockade of Iran indefinitely and ramp up economic pressure on Tehran as ceasefire talks have stalled.