Oil prices ?rose on Thursday as the U.S. and Iran attempted to ease a standoff in talks over Tehran’s nuclear program while ?both sides heightened military activity in ?the key oil-producing region.
Brent futures ?climbed $1.16, or 1.65%, to $71.51 U.S. a barrel Thursday while U.S. West Texas Intermediate (WTI) crude gained $1.11, or 1.7%, to trade at $66.30 a barrel.
Both benchmarks settled more than 4% higher on Wednesday, posting their highest settlements ?since ?January 30, as traders priced in potential supply disruptions amid concerns ?of U.S.-Iran conflict.
Experts say the main concern for the oil market is that a flareup in tensions could disrupt shipping in the Strait of Hormuz, ANZ analysts said in a note. About 20% of the world’s oil consumption passes through the waterway.
Iran ?issued a notice to airmen (NOTAM) that it plans rocket launches in areas ?across its south on Thursday from 0330 GMT to 1330 GMT, according to the U.S. Federal Aviation Administration website.
Iranian state media reported the country had shut down the Strait of Hormuz for a few ?hours on Tuesday, without making clear whether the waterway ?had fully reopened.
Meanwhile, two days of peace talks in Geneva between Ukraine and Russia ended on Wednesday without a breakthrough, with Ukrainian President Volodymyr Zelenskiy accusing Moscow of stalling U.S.-mediated efforts to end the four-year-old war.
Official U.S. oil inventory reports from the Energy Information Administration were due on Thursday.
