Oil resumes rally as Iran wants to keep uranium within the country
CNBC • • nation
Key Points:
- Oil prices rebounded on Friday after three days of decline, driven by mixed signals regarding the Iran peace deal negotiations.
- Brent crude July futures rose 1.9% to $104.52 per barrel, and U.S. West Texas Intermediate June futures increased 1.5% to $97.81 per barrel amid ongoing supply concerns.
- Iran's Supreme Leader Ayatollah Mojtaba Khamenei ordered that enriched uranium remain in the country, conflicting with U.S. statements suggesting a peace deal was near.
- The International Energy Agency warned that rising summer travel demand could push oil markets into a critical "red zone" as global stockpiles dwindle, emphasizing the need for the Strait of Hormuz's full reopening.
- Energy experts caution that Middle East oil supply normalization may not occur until 2027 due to disruptions from the Iran conflict, which has impacted the vital Strait of Hormuz responsible for a significant portion of global oil and LNG transit.