Oil prices steadied on 15 April, as investors weighed the implications of renewed US-Iran talks and potential Middle East supply adjustments following the near-total closure of the Strait of Hormuz.
By 08:21 GMT, Brent crude futures had risen by US$0.43 to US$95.22 per barrel (bbl) after a 4.6 per cent drop the previous day, according to Reuters.
In contrast, US West Texas Intermediate (WTI) crude slipped by US$0.17 to US$91.11/bbl after tumbling 7.9 per cent in the prior session.
The market’s cautious tone reflects the delicate balance between geopolitical risks and diplomatic efforts.
The Strait of Hormuz, through which a significant share of global oil exports passes, remains largely closed amid continuing conflict in the region.
The restricted passage threatens to disrupt supplies to key markets in Asia and Europe, intensifying concerns over energy security.
US President Donald Trump signalled that Washington could resume negotiations with Tehran “to end the conflict” this week following what he described as “inconclusive talks over the weekend.”
However, despite these diplomatic overtures, the United States has maintained a strict naval blockade on Iranian ports.
The US military confirmed on Wednesday that the operation “has effectively stopped all maritime trade into and out of the country.”
Shipping data suggests the impact is already being felt.
Vessel movements through the Strait have plunged from more than 130 daily crossings before hostilities erupted, according to sources cited by Reuters on Tuesday.
Although a temporary two-week ceasefire is in place, the situation on the ground remains unstable, and the reopening of the route is uncertain.
Oil refiners across Asia and Europe are seeking alternative crude supplies to fill potential shortfalls, driving up premiums on oil shipped from the US Gulf Coast and the North Sea.
Refining margins have also tightened as buyers compete for the limited available barrels outside the Gulf corridor.
Recent tensions flared after a US destroyer intercepted and halted two Iranian oil tankers attempting to leave port earlier this week — an incident viewed by analysts as evidence of Washington’s “maximum pressure” campaign to constrain Iranian exports.
Adding to supply concerns, two senior US administration officials told Reuters on Tuesday that the government will not extend the 30-day sanctions waiver currently allowing limited transactions of Iranian oil at sea.
That waiver is set to expire later this week.
A similar waiver on Russian oil sanctions lapsed over the weekend, further constraining available global flows.
US Treasury Secretary Scott Bessent confirmed that “the expiry of these waivers, which had temporarily allowed oil transactions to alleviate supply pressures, is anticipated on 19 April.”
Despite intensified sanctions enforcement, Iran continues to export some oil, particularly to China, highlighting the limitations of international monitoring and enforcement.
Still, shipping data show traffic through the Strait of Hormuz has remained largely halted since the US blockade began
As the market awaits concrete outcomes from potential negotiations, analysts expect crude prices to remain volatile.
Traders are closely watching both developments in the Strait of Hormuz and Washington’s next steps on sanctions policy for clues to the global oil market’s near-term direction.
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