WTI crude futures hovered near $102 per barrel on Wednesday, extending a three-session rally, as the protracted conflict in the Middle East and the continued near-shutdown of the strategic Strait of Hormuz further tightened global energy supplies. Diplomatic efforts to end the US–Iran war have so far yielded little progress, and the already fragile ceasefire remained under threat after Washington rejected Tehran’s latest response to a proposed peace framework.
The Strait of Hormuz remains subject to restrictions imposed by both US and Iranian forces, posing a central obstacle to negotiations and significantly disrupting flows of crude oil, natural gas, and refined fuels.
At the same time, President Donald Trump is expected to meet Chinese President Xi Jinping this week, though Trump has signaled that trade talks will take precedence over developments in the Iran conflict.
Separately, US inflation accelerated more than expected in April, as surging energy prices—linked to the Middle East crisis—added further upward pressure on consumer prices.
