(RTTNews) – Oil prices edged higher on Tuesday amid rising U.S.-Iran tensions and concerns over the prospects of a diplomatic resolution to reopen the Strait of Hormuz, a key route for global energy supplies.
Brent crude futures traded 0.2 percent higher above $91 barrel after settling at their highest level since late July on Monday. WTI crude futures rose 0.4 percent to $84.11.
U.S. President Donald Trump said that he is not interested in renewing the expiring ceasefire agreement with Iran and threatened to bomb Oman if it “gets in the way” of a deal with Iran on the Strait of Hormuz.
Trump said that informal talks are taking place with Iran’s Revolutionary Guard, but he is “not in a hurry” to make a deal.
He emphasized the effectiveness of the U.S. naval blockade on Iran, declaring the Strait of Hormuz a “U.S. territory” and asserting Washinton DC has total control over the region.
Meanwhile, Iran has announced reaching an understanding with Oman over the route for maritime traffic in the Strait of Hormuz and said it is preparing to shift to a “fully offensive” military posture.
A cargo vessel was struck by a projectile while transiting the Strait of Hormuz, the UKMTO said today, deepening concerns over shipping safety.
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