Israel attacks one Palestinian every 80 minutes (machine-translated headline from a Turkish-language source)
Oil climbs again as waning US-Iran peace hopes raise supply woes
Summary
Oil prices climbed for a third session in a row on Tuesday as prospects for an agreement to end the Middle East war faded, with Iran saying it would adopt a more offensive stance and the U.S. ruling out extending a cease-fire deal, further heightening worries about global energy supply. Iran will shift to a "fully offensive" military posture as efforts have stalled towards a permanent end to the war, a senior Iranian official told Reuters on Monday, as Washington ruled out extending its temporary cease-fire pact. Brent crude futures climbed 89 cents, or 1%, to $91.76 a barrel by 6:41 a.m. GMT, extending their gains on Monday and were at their highest since July 30. U.S. West Texas Intermediate (WTI) crude futures were up $1.05 at $85.55 a barrel, also extending gains from the previous session to their highest since July 31. Outward progress on peace talks and resumption of oil tanker traffic through the strategic Strait of Hormuz has halted, threatening to extend the conflict the United States and Israel launched with attacks on Iran on Feb. 28. "Oil has jumped to start the week as U.S.-Iran relations look increasingly shaky," said Tim Waterer, chief market analyst at KCM. "A deal to reopen the Strait of Hormuz still does not appear to be in sight, and shipping numbers remain at a trickle." A projectile struck a vessel transiting out of the Strait of Hormuz on Tuesday in the latest of the attacks that have kept crossings to the single digits, despite a slight rise from the weekend, tracking data showed. Yemen's Houthis launched missiles in an attack on vessels they described as a Saudi military ship and four escorts in the Red Sea, their military spokesperson, Yahya Saree, said on the Telegram messaging app. "The lack of any kind of deal will have an impact on oil price expectations further out in 4Q and even in 2027," said DBS Bank's head of energy research, Suvro Sarkar. While the deal-related uncertainty lasts, he said he expected oil prices to range between $80 and $100 a barrel in the near term. Iran has separately been negotiating with Oman an agreement on managing the Strait of Hormuz and says they are close to a deal. But U.S. President Donald Trump responded to those talks with a threat to bomb the Gulf state, a longstanding U.S. security partner. U.S. crude oil stockpiles were expected to have fallen last week alongside product inventories, a preliminary Reuters poll showed on Monday.
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- ReutersBy Reuters
Oil prices climbed for a third session in a row on Tuesday as prospects for an agreement to end the Middle East war faded, with Iran saying it would adopt a more offensive stance and the U.S. ruling out extending a cease-fire deal, further heightening worries about global energy …
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TEHRAN: Iran's armed forces on Wednesday (Aug 19) warned Gulf countries against assisting the United States military, saying it would be tantamount to joining American military operations. "We wish to warn that any assistance or facilitation provided to the aggressor US military amounts to participation in the US military operation," armed forces chief of staff Ali Abdollahi said, according to Iran's Mehr news agency.
War between Iran and the US broke out on Feb 28 after US-Israeli attacks on the Islamic Republic, which retaliated with missile and drone strikes including on US bases across the region. "It seems unlikely that such a large number of military aircraft, particularly refuelling aircraft, could be present at regional bases without knowledge of host countries," said Abdollahi.
"The countries bordering the Persian Gulf, which have issued various statements saying they would not allow the US to use their territory against Iran, should know that we are fully aware of the situation." The warning comes as the USS George Washington aircraft carrier is being redeployed to the Middle East to relieve the USS Abraham Lincoln following reports of deteriorating living conditions for its crew.
The Iran conflict has highlighted divergences between the United States and Israel regarding the political conditions and timing for concluding military operations, despite extensive tactical coordination. While U.S. forces recently paused strikes as diplomatic efforts intensified, the episode suggests a lack of established mechanisms for managing escalation and campaign termination.
FTSE 100 Live: Stocks to fall as oil jumps after Trump claims Strait of Hormuz Welcome back to the City AM liveblog. Oil prices are surging higher for the fourth consecutive session after Donald Trump declared the Strait of Hormuz as US territory. Brent crude – the international benchmark for oil prices – was climbing towards $92 as there was little indication the narrow waterway was to be reopened, keeping pressure on supply.
It comes after Trump shared a crude map of the Middle East with a large blue circle over Hormuz on Truth Social as he declared the vital shipping route as “NEW US territory”. “The Naval Blockade remains in full force and effect”, the President said.
“The Hormuz Strait is open and operating. All water mines have been removed or detonated”. Concerns around shipping through the strait has remained high despite Trump’s claim that the waterway is open and mines have been cleared. Limited traffic has continued to pass through the strategic route while Iranian forces have intensified hostilities.
Eight attacks on vessels transiting Hormuz, including ships linked to the UAE and Saudi Arabia, have been reported so far this month. In the US, crude inventories have fallen by 328,000 barrels over last week, following an over 9m barrel increase in the previous week.
Trump confirmed earlier this week that there are “no talks or conversations going on, or scheduled” with Iran. Meanwhile his US Special Envoy Jared Kushner, who is also the President’s son-in-law, said Iran is ”not showing any interest” in a deal proposed by the Trump administration.
We’ll be bringing you all the latest analysis and updates.