Oil prices rise as investors assess conflicting signals over a potential US-Iran agreement amid escalating tensions.
West Texas Intermediate crude climbed to $82.70 per barrel in Asian trading, extending gains for a third session. Prices advanced as markets weighed mixed signals on a possible US-Iran deal, with optimism over diplomatic progress countered by rising rhetoric from Washington and Tehran.
Earlier sentiment was lifted by reports that Pakistan’s defense minister suggested the US and Iran were nearing an arrangement to secure the Strait of Hormuz. Parallel talks between Iran and Oman also reached an advanced stage. However, President Trump’s demand for reparations from Iran dampened hopes, following Tehran’s weekend list of conditions, including war compensation.
Analysts noted that expectations for a near-term agreement are fading, with tensions over the Strait of Hormuz adding to the oil risk premium.