Monday, WTI and Brent rose in the U.S. session as uncertainty over a full
reopening of the Strait of Hormuz and sustained regional tensions supported
prices. Iran reiterated conditions for a full reopening — end the U.S. maritime
blockade, withdraw U.S. naval and air forces from Iran's vicinity, pay
compensation for recent losses, lift sanctions and unfreeze Iranian assets
unconditionally — steps that reduce the likelihood of a rapid resumption of
normal shipping and help maintain a WTI risk premium. Talks with Oman on a
secure shipping corridor through the Strait appears to be advancing, but failure
to agree on full reopening keeps investors cautious about prolonged supply
disruption. Separately, Yemen’s Iran-backed Houthi rebels claimed a drone attack
on a Saudi Aramco refinery, adding to concerns over regional oil-supply
security.
