Oil Prices Hover Above $100, Strait of Hormuz Vessel Traffic Declines
Oil prices continue to trade above $100 a barrel despite a slight decline, amid concerns that escalating tensions between the US and Iran could disrupt global oil supplies.
International benchmark Brent crude futures for November delivery were trading at $100.71 a barrel, down 0.5 % from the previous close of $101.21.
US benchmark West Texas Intermediate (WTI) crude futures for October delivery decreased 0.3% to $95.73 a barrel from $96.05.
Brent crude rose above $100 a barrel on Wednesday for the first time in nearly two months amid heightened tensions and attacks on oil tankers in the Middle East.
Vessel traffic through the Strait of Hormuz has declined significantly since Iran announced its closure on Aug. 12, citing US attacks. Anadolu footage showed numerous commercial vessels, including oil tankers and container ships, anchored off Bandar Abbas.
Strait of Hormuz, a key global oil chokepoint, handled around 20 million barrels of crude oil and petroleum products a day before the conflict. Analysts said disruptions to oil flows from the Persian Gulf could persist.
According to Iranian media, IRGC spokesman Brig. Gen. Hossein Mohebbi said Iran had expanded its control over maritime traffic beyond the Strait of Hormuz.
US President Donald Trump, meanwhile, said Washington was not actively negotiating with Iran and claimed the war would end immediately after the Nov. 3 congressional midterm elections. He also accused Iran of seeking to influence the elections without providing details.
Trump said the US Navy had full control of the Strait of Hormuz, through which numerous oil tankers pass daily.
US Secretary of State Marco Rubio warned that Iran would face an economic cost if it continued attacking US warships, saying four Iranian tankers had been damaged and another sunk overnight.
Meanwhile, US fighter jets were reportedly damaged in an Iranian missile attack on the Muwaffaq Salti Air Base in Jordan overnight from Sept. 8 to Sept. 9.
CBS News, citing sources familiar with the matter, reported that around eight F-15 fighter jets were damaged and an A-10 Thunderbolt attack aircraft suffered a broken wing. No US military personnel were reportedly killed.
The IRGC had said it targeted the US base with ballistic missiles. US commercial crude oil inventory data is due to be released by the Energy Information Administration (EIA) on Thursday.
