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Oil risk premium lifts Brent toward USD 90, diesel tightens

Commerzbank links the move to fading hopes for a US–Iran deal to reopen the Strait of Hormuz, plus refinery disruptions and tighter global diesel supply.

Reported · Written up by our desk · Major Pairs

Commerzbank’s energy team, cited by FXStreet, said fading hopes for a US–Iran agreement to reopen the Strait of Hormuz are supporting a higher risk premium in oil markets.

The bank noted that this backdrop is helping push Brent toward the USD 90 area, while gas oil is near USD 1,350 per ton, as supply concerns broaden beyond the immediate shipping chokepoint.

FXStreet also highlighted that drone attacks on refineries in Saudi Arabia, Russia, and Libya, along with tight diesel supply, are contributing to the strain in refined products. It said the gasoil crack spread has climbed back above USD 70 per barrel.

FXStreet added that while European diesel markets are not directly hit, they could face tighter global supply conditions as refinery outages ripple through the market.

Latest closeBrent $87.85 ▲5.2%

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