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WTI climbs near $79.50 as Strait of Hormuz reopening talks stay uncertain
Iran says talks with Oman to set up a safe shipping route near agreement, but Tehran warned any deal would not mean an immediate Strait reopening.
West Texas Intermediate gained ground and was trading around $79.40 per barrel during Asian hours, after losing nearly 1.5% in the prior session, as markets weighed uncertainty around efforts to reopen the Strait of Hormuz.
FXStreet reports that regional risk has stayed elevated even as Iran said discussions with Oman to establish a safe shipping route were nearing an agreement. Tehran cautioned that any outcome would not lead to an immediate reopening, while Iran-backed Houthi militants in Yemen claimed an attack on Saudi Arabia’s Jazan refinery and a tanker operated by Abu Dhabi National Oil Co. was reported attacked in the Strait.
Diplomatic progress has also remained stalled, with Iran rejecting direct talks with the United States for now and insisting on demands that include ending the US naval blockade, lifting sanctions, and compensation for war damages. The report adds that President Donald Trump signaled patience while negotiations continue.
TD Securities cited constructive energy-market fundamentals and lingering optimism around potential deal-making, alongside data suggesting global crude balances swung back into a meaningful deficit and product markets remain tight. The combination, according to TD Securities, helped anchor sentiment in WTI and Brent despite the earlier pullback.
Latest closeWTI crude $78.07 ▲3.8%|Brent $83.46