Oil Steadies After Gains as Hormuz Ship Attacks Threaten Supply

Oil steadied after a three-day rally as the US carried out another round of airstrikes on Iran following a series of shipping attacks by the Islamic Republic this week.

(Bloomberg) — Oil steadied after a three-day rally as the US carried out another round of airstrikes on Iran following a series of shipping attacks by the Islamic Republic this week. Global benchmark Brent traded below $85 a barrel after gaining 12% in the previous three sessions, while West Texas Intermediate was under $80.

The US completed more airstrikes on Iran and said it disabled an unladen oil tanker headed for a port in the OPEC+ member. Earlier, Iranian forces had struck ships in the Strait of Hormuz, spooking shippers and prompting a dip in observable traffic. Crude has soared to its highest in about a month as the escalation in the conflict revives concerns over flows from the energy-rich region, erasing part of a roughly 30% slump in the second quarter.

Meanwhile, near-daily Ukrainian strikes on Russian fuel-producing plants and tankers further threaten global supply. “So not only have we now lost all of the Straits of Hormuz again, but we have also lost the crude oil and the refineries in Russia,” Jeff Currie, a senior adviser at Carlyle Group Inc., said in an interview on Bloomberg TV. “The situation in energy, I would argue, is pretty dire.”

US President Donald Trump pledged to intensify the bombardment of Iran until Tehran stops attacking ships in the strait and agrees to open the energy chokepoint. The Wall Street