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Oil prices rise after Rubio says Iran is not serious about a deal
CNBC • • world
Key Points:
- Oil prices surged on Wednesday, with Brent crude rising about 2.5% to $93.32 and U.S. West Texas Intermediate up 2.3% to $86.31, following U.S. Secretary of State Marco Rubio's comments on Iran's lack of seriousness in peace talks.
- Rubio emphasized that while the U.S. remains open to negotiations, Iran violated commitments made in a recent memorandum of understanding, prompting continued U.S. military protection of shipping through the Strait of Hormuz.
- The U.S. military conducted its eleventh consecutive night of strikes targeting Iranian military and maritime infrastructure, underscoring escalating tensions in the region.
- Rubio warned that Iran's demand to control the Strait of Hormuz poses a dangerous precedent, highlighting the strait's critical importance as a global shipping route for oil and other commodities.
- Analysts noted increasing risks to oil supply not only from Middle East tensions but also from disruptions in the Black Sea, where Russia's CPC terminal has halted oil loadings due to attacks on tankers.
