Oil Prices Hit One-Month High as US Reinstates Iran Naval Blockade
On Tuesday, oil prices surged to a one-month peak following the announcement of a naval blockade of Iranian ports by U.S. Central Command (CENTCOM), set to take effect at 4 p.m. ET. Brent crude increased by 3.81%, reaching $86.47 per barrel, while U.S. West Texas Intermediate rose 2.75% to $80.29. President Donald Trump declared the blockade on Truth Social, implementing a 20% charge on cargo passing through the Strait of Hormuz. This action came in response to an Iranian assault on a commercial vessel, which led to U.S. strikes on Iranian targets. Iran then retaliated by attacking supertankers and U.S. military assets, resulting in an 85% decline in shipping traffic through the strait. Ongoing negotiations involving Oman, Qatar, and Pakistan remain uncertain.
Key facts
- Brent crude rose 3.81% to $86.47 a barrel, highest since June 12
- U.S. West Texas Intermediate rose 2.75% to $80.29 a barrel
- CENTCOM announced naval blockade of Iranian ports effective 4 p.m. ET Tuesday
- Previous blockade from April 13 to June 18 redirected over 140 vessels
- President Trump announced blockade reinstatement on Truth Social
- Trump declared 20% fee on all cargo transiting Strait of Hormuz
- Iran attacked commercial vessel on Saturday, prompting U.S. strikes
- UAE confirmed Iranian cruise missiles hit two oil tankers, killing one Indian seafarer
Entities
Institutions
- U.S. Central Command
- CENTCOM
- Kpler
- Citi
- CNBC
- NPR
- Reuters
- NATO
- United Nations
- The New York Times
- Barron's
- S&P 500
- Nasdaq
- Kospi
- SK Hynix
- Nvidia
- Micron Technology
- AAA
- Dow Jones Industrial Average
- Nasdaq composite
- US Navy
- Iranian news agencies
- US military
Locations
- United States
- Iran
- Strait of Hormuz
- Bahrain
- Jordan
- Oman
- Qatar
- Pakistan
- Turkey
- United Arab Emirates
- Omani waters
- Kuwait
- South Korea
- Persian Gulf
Sources
- Quartz —
- Quartz —
- SCMP Culture —