Crude oil slipped back below $90 a barrel on Wednesday, interrupting a two-session rally that had pushed prices to a six-week high. Market participants weighed heightened supply risks from ongoing hostilities in the Middle East against indications that crude flows to global markets remain largely intact.
The US conducted additional strikes on Iran and warned of the prospect of more severe action. Iranian media reported attacks on multiple targets near the Strait of Hormuz, while Tehran claimed it had struck US assets in Bahrain, Jordan, Kuwait and Iraq.
Despite the escalating tensions, US Energy Secretary Chris Wright said that 17 million barrels of oil passed through the Strait of Hormuz on Monday, the highest single-day volume since the conflict began. At the same time, US President Trump stated that he “couldn’t care less” whether Iran agrees to a deal to reopen the Strait of Hormuz.
The latest round of attacks, which started earlier this week and are the first in nearly a month, has further complicated diplomatic efforts to bring the conflict to an end.
