Oil prices rise 1.5% today amid Strait of Hormuz tensions but remain on track for a near 10% weekly decline.
WTI crude oil prices climbed 1.5% today, recovering slightly from recent losses. However, the benchmark is still set for a nearly 10% weekly decline, marking back-to-back weekly drops amid persistent geopolitical uncertainty.
Ship traffic through the Strait of Hormuz remains at near standstill levels, with daily crossings in the single digits since August 3. Despite reported progress in talks between Iran and Oman, the final agreement is yet to be approved, and Iran is pushing for legislation to bar U.S. and Israeli vessels from the route.
Market sentiment remains cautious as optimism from recent diplomatic signals contrasts with ongoing disruptions and proposed restrictions. The situation has kept pressure on oil prices despite today’s modest rebound.