Uncertainty between the U.S. and Iran keeps oil prices high

Oil prices stayed near their highest levels in a week on Tuesday, amid doubts about a possible deal between the United States and Iran and concerns over supply disruptions in the Middle East.

Brent rose 1.4% and closed at $88.91 per barrel, while WTI advanced 1.3% to $83.20. Both benchmarks had increased around 5% on Monday, as expectations for a deal between Washington and Tehran decreased, according to Reuters.

The Strait of Hormuz continues to be one of the main points of attention. The newly appointed secretary of Iran’s Supreme National Security Council stated that this route will remain closed as long as the United States does not change its position and accept Iran’s conditions to end the conflict. Before the war, about 20% of the world’s oil supply passed through this sea passage.

Supply risks keep the pressure on

The concern isn’t limited to Iran. The U.S. Energy Information Administration (EIA) pointed out that some Middle Eastern producers could have trouble getting back to their pre-conflict production levels before the end of 2027, even if trade patterns start to normalize sooner.

The Strait of Hormuz continues to be one of the main points of attention. The newly appointed secretary of Iran’s Supreme National Security Council stated that this route will remain closed as long as the United States does not change its position and accept Iran’s conditions to end the conflict. Before the war, about 20% of the world’s oil supply passed through this sea passage.

In Libya, the National Oil Corporation warned that it might declare force majeure if drone attacks against energy facilities in Zawiya continue, where the return of violence has affected oil activity.

Adding to this is the situation in Russia. The Ukrainian army reported that it attacked an oil refinery in Orsk, a major industrial center in the Orenburg region.

The combination of disruptions in the Middle East and attacks on energy infrastructure in other countries keeps the global supply limited and supports energy prices. In this scenario, Brent futures have risen close to 44% so far in 2026.