US Threatens Indefinite Blockade on Iran, Oil Prices Edge Higher

Oil prices edged higher on Friday after the US threatened to maintain its naval blockade of Iran indefinitely, reviving concerns over 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 nine cents to $87.16 a barrel by 0130 GMT, while US West Texas Intermediate (WTI) crude futures increased four cents to $81.29 a barrel. The two benchmarks fell more than 2% in the previous session but are on track for weekly gains of about 4%.

US Treasury Secretary Scott Bessent warned that the US would apply 'measures like have never been seen in the history of economic isolation' against Iran, following stalled ceasefire talks. The recent attacks on two vessels from state-owned Abu Dhabi National Oil Company while transiting the strait further escalated tensions.