Oil Prices Surge as Hormuz Negotiations Deadlock and Houthi Attacks Escalate

WTI risk premium rises amid stalled Strait of Hormuz talks and Houthi strikes on Saudi Aramco, sustaining supply disruption fears.

Woofun AI reports that U.S. oil prices climbed further on Monday due to uncertainty surrounding the Strait of Hormuz and escalating Middle East tensions. Iran's Supreme National Security Council Secretary Zarghami outlined conditions for reopening the strait, including ending the U.S. naval blockade, withdrawing U.S. forces from the region, lifting sanctions, unfreezing assets, and providing conflict compensation. While talks with Oman regarding safe passage show progress, the absence of a full reopening agreement keeps investors cautious about long-term supply risks.

Meanwhile, Iranian-backed Houthi forces claimed responsibility for drone attacks on Saudi Aramco refineries, intensifying market concerns over regional energy infrastructure security.