Brent crude rose 2.4% to $93.85 a barrel on Thursday, its fifth straight day of gains, after the US-Iran ceasefire expired and Washington threatened new economic pressure on Tehran. The United Arab Emirates has suspended all financial and economic ties with Iran, and UBS says the standoff is tightening global supply.
Brent crude, the global benchmark, rose 2.4% to $93.85 a barrel on Thursday. The gain extends a run that has lifted prices for five straight trading sessions since the shaky ceasefire between Washington and Tehran expired on Monday.
Earlier in the week, Brent had already climbed $1.46, or 1.6%, to just over $93 a barrel, its highest level in three weeks, before extending gains further on Thursday.
According to UBS analyst Giovanni Staunovo: "Tensions in the Middle East remain high, leaving room for further supply disruptions." He added that lower oil exports from the Middle East are once again tightening the crude oil market.
Trump said on Tuesday that no talks were taking place with Iran and claimed the Strait of Hormuz was open, while Iran said the waterway remained shut. On Wednesday, he warned of sweeping economic consequences for any country that helps or does business with Tehran.
The United Arab Emirates has suspended all financial and economic transactions with Iran until further notice.
Source: Business | The Guardian
Trading involves risk.
Risk Disclaimer
