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Oil prices set for weekly rise as U.S. ups economic pressure on Iran
CNBC • • nation
Key Points:
- Oil prices are set for a second consecutive week of gains, driven by diminishing hopes for a swift reopening of the Strait of Hormuz amid escalating tensions.
- U.S. Treasury Secretary Scott Bessent announced plans for the "toughest sanctions in history" against Iran, reinforcing President Trump's threat of a "crushing" economic campaign.
- Brent crude futures rose to $93.96 per barrel, and U.S. West Texas Intermediate futures increased to $86.94 per barrel, marking over a 5% gain for the week.
- The hardening U.S. stance has created uncertainty around shipping through the Strait of Hormuz, with vessel traffic remaining minimal following fatal attacks.
- Industry analysts highlight significant pressure on refined products markets, particularly diesel, due to fears of supply shortages, strong demand, and limited inventory buffers.
