Oil steadies near $98 as Hormuz attacks tighten fuel markets

· Finance · Iran · United States

Oil was set for a second weekly advance as traders weighed rising Middle East supply risks against a fresh release of emergency reserves. U.S. crude traded near $98 as Iran stepped up attacks on ships passing through the Strait of Hormuz. The disruption has upended other parts of the market: prices of 15-year-old oil tankers have topped new-build values as the Iran conflict roils shipping. Separately, the IEA warned that tight global diesel supplies, driven by Middle East disruptions and lower Russian exports, could push diesel prices higher in Africa, with shortages potentially lasting into 2027.

Why it matters：A renewed Middle East supply shock feeds straight into global fuel costs, shipping economics and inflation expectations.

Key points

  • Iran escalated attacks on ships in the Strait of Hormuz.
  • Fifteen-year-old tanker prices now exceed new-build values.
  • The IEA sees diesel shortages potentially lasting into 2027.

Sources (original reporting)

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