Oil holds near $85 as US-Iran strikes choke Hormuz flows

Oil prices steadied near one-month highs after the United States and Iran traded fresh strikes across the Gulf, deepening supply fears around the Strait of Hormuz. Brent crude traded around $85 a barrel and West Texas Intermediate near $80 after both benchmarks jumped roughly 12% this week. Shipping attacks and renewed US airstrikes have cut observable traffic through Hormuz, with RBC Capital Markets estimating a 4.6 million-barrel-a-day drop in seven-day average flows since fighting resumed. Reuters also reported that Tehran told Houthi allies to be ready to shut the Red Sea route if US strikes hit Iranian power infrastructure, adding another threat to global oil exports.