Renewed tensions in the Strait of Hormuz fail to lift oil prices as markets bet on the fragile Iran-US deal holding.
Brent crude remains near $73.8, the lower end of its weekly range, despite a cargo ship being hit near Oman, raising security concerns in the Strait of Hormuz. The incident has not disrupted shipping flows, but analysts warn of potential risks if tensions escalate.
The Iran-US memorandum of understanding (MoU) continues to support Iranian oil exports, limiting broader economic risks. Markets appear to price in the deal’s resilience, even as US officials blame Iran for the attack while downplaying its severity.
Traders are monitoring whether the fragile agreement holds, as both sides have incentives to avoid further escalation. Iran’s ability to sell oil remains critical for its struggling economy.