Oil jumps above $90 as Iran standoff raises Hormuz supply fears
What's new: Brent settled at $90.87 and U.S. crude at $84.50 as ship traffic through the strait stayed severely restricted.
Oil prices climbed Monday after Washington and Tehran ruled out extending their June memorandum of understanding, deepening fears of supply disruption around the Strait of Hormuz. Brent crude settled up 2.65% at $90.87 a barrel, while U.S. West Texas Intermediate rose 2.55% to $84.50. A senior Iranian official told Reuters that Tehran was prepared to escalate tensions in Hormuz and the wider region if diplomacy with the United States fails. Shipping remained constrained, with Kpler data showing only three vessels crossed the strait on Sunday, far below the five-day average of 12 and well under prewar levels. The latest gains followed tanker attacks last week and added to worries that any further disruption could tighten global oil supplies.