Oil prices set for 9.8% weekly gain as US-Iran clashes intensify
Brent crude futures gained 48 cents to reach $96 a barrel on Friday amid rising tensions. US Vice President JD Vance stated Washington would not negotiate with Iran unless Tehran stops attacking commercial shipping in the Strait of Hormuz.
Oil prices rose significantly on Friday and are projected for their steepest weekly increase since the week ended July 20. Brent crude futures added 48 cents, or 0.5%, to reach $96 a barrel. US West Texas Intermediate (WTI) futures climbed 55 cents, or 0.58%, to $92. On a weekly basis, Brent was up 7.1% and WTI was 9.8% higher.
Rising tensions and renewed hostilities between the United States and Iran heightened concerns regarding potential disruptions to oil supplies from the Middle East. This week's US attacks resulted in casualties involving dozens of people, including Iranian civilians, marking the most intense clashes between the two nations since July. The conflict, which began with US-Israeli strikes at the end of February, has now entered its seventh month.
Israeli Defence Minister Israel Katz warned that Israel would cripple Iran's military and civilian infrastructure, including energy facilities. US Vice President JD Vance indicated on Thursday that Washington does not plan to hold talks with Tehran unless the Iranian side stops attacking commercial shipping in the Strait of Hormuz. Iran has expanded its list of vessels deemed non-compliant and subject to fines or detention if they attempt to transit the strait.
