Oil prices rise as Strait of Hormuz stalemate persists

Oil prices rose again on Monday morning as no solution has yet been found to restore shipping through the Strait of Hormuz, a key corridor for global oil supply. A report by news site Axios suggesting that Iran had put forward a new proposal offered some limited relief to markets.

The price of a barrel of Brent crude for June delivery increased by 2.5 per cent to 107.97 USD, while US WTI crude rose by more than 1.5 per cent to around 97 USD per barrel. Following the Axios report, the upward momentum eased slightly.

No mediation talks between the United States and Iran took place over the weekend. While a ceasefire remains in place for now, the Strait of Hormuz is still largely blocked in practice.

Analysts warn that the ongoing stalemate, now nine weeks into the conflict, could keep oil prices above 100 USD per barrel for an extended period.

^{​© BELGA PHOTO ERIC LALMAND}

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