Brent crude at $84.43/bbl Monday, up 16pct since Iran-Israel war disrupted Hormuz shipping, Al Jazeera reports
Brent crude hit $84.43 a barrel Monday morning, up about 16% since the Iran-Israel war disrupted oil shipping, Al Jazeera reports. Iran says the Strait of Hormuz won't reopen until Washington eases sanctions and pays reparations, not just security guarantees. Fuel costs stay elev
Oil prices climbed again Monday, with Brent crude trading at $84.43 a barrel, about 16 percent higher than before the US-Israel war on Iran disrupted shipping through the Strait of Hormuz, Al Jazeera reports. Iranian Foreign Minister Abbas Araghchi said Sunday that while Iran and Oman are close to an agreement on the strait, Tehran will not allow it to reopen until Washington eases sanctions and pays war reparations, conditions that go well beyond a simple security guarantee. The strait normally carries about a fifth of global oil supply; shipping through it has effectively collapsed since the war began in late February, with only 8 to 15 vessels crossing on August 4 through 6, compared with roughly 130 transits before the conflict, according to ship-tracking platform MarineTraffic. The risk has not eased either: the UAE condemned Iran on Saturday over what it called a missile attack on a tanker owned by the Abu Dhabi National Oil Company, and the International Maritime Organization counts at least 64 violent incidents and 17 deaths involving commercial vessels in the region since the war started. Because Iran has linked reopening to sanctions relief and reparations rather than security alone, the diplomatic threshold for a resolution is higher than a ceasefire, which is part of why oil traders keep pricing in a risk premium even as talks continue. Source: Al Jazeera