Brent Crude 2026 Rises 2% as US Iran Strikes Cloud Peace Prospects

Brent crude 2026 rose 2% to $98.12 after US military strikes in southern Iran dampened hopes for an imminent peace deal. The Silicon Review reports on oil price volatility as Hormuz talks continue.

Brent crude futures rose over 2% in Asian trade after the US military carried out strikes in southern Iran, keeping energy markets on edge as a deal to end the war and reopen the Strait of Hormuz remained elusive.

Brent futures were up 1.98, or 2.1 percent, to 98.12 a barrel. US West Texas Intermediate crude traded at $91.79 a barrel, down about 5 percent from Friday's close, widening the spread between the two benchmarks.

The US military said it conducted self-defense strikes targeting vessels allegedly trying to deploy mines, as well as missile launch locations in southern Iran. The action came as Iran's top negotiator and foreign minister were in Doha for talks with Qatar's prime minister on a potential deal to end the three-month-old war.

US Secretary of State Marco Rubio said on Tuesday that negotiating a deal with Iran could take a few days, quashing hopes for an imminent end to the conflict. Both Washington and Tehran have said they made progress on a memorandum of understanding that would halt the war and give negotiators 60 days to reach a final deal, but key differences remain unresolved.

Tehran has effectively halted nearly all non-Iranian shipping through the Strait of Hormuz since the war began, choking off about a fifth of global oil and LNG flows. Iran's Islamic Revolutionary Guard Corps Navy claimed 33 vessels had passed through the strait after coordinating with its forces, but commercial shipping remains severely constrained.

Analysts warn that even if an agreement is reached, restoring normal oil flows could take months. Morgan Stanley described the oil market as being in a race against time, noting that higher US crude exports and softer Chinese demand have cushioned the supply shock so far but may not hold if the strait remains closed through June.

As Brent crude rises 2% following US military strikes on Iran, The Silicon Review examines how renewed tensions have derailed hopes for an imminent peace deal and why oil markets remain trapped between diplomatic progress and military escalation.

Q: How much did Brent crude rise after the US military strikes on Iran?
A: Brent crude futures rose over 2 percent to $98.12 a barrel in Asian trade on Tuesday following the US military action in southern Iran.

Q: What did the US military strike in Iran?
A: The US military conducted self-defense strikes targeting vessels allegedly trying to deploy mines, as well as missile launch locations in southern Iran.

Q: Are diplomatic talks between the US and Iran progressing?
A: US Secretary of State Marco Rubio said negotiating a deal with Iran could take a few days. Both sides have made progress on a memorandum of understanding, but key differences remain unresolved.

Q: How much oil and LNG flows through the Strait of Hormuz?
A: About one-fifth of global oil and LNG flows normally transit the Strait of Hormuz. Iran has effectively halted nearly all non-Iranian shipping through the strait since the war began.

Q: When could global oil markets stabilize if the strait remains closed?
A: Saudi Aramco CEO Amin Nasser cautioned that disruptions in the Strait of Hormuz could delay stability in global oil markets until 2027.

Q: What was the price of US West Texas Intermediate crude?
A: US WTI crude traded at $91.79 a barrel, down about 5 percent from Friday's close, widening the spread between Brent and WTI benchmarks.