Oil prices rise as U.S. and Iran fight for control of Strait of Hormuz
Source: CNBC
Published Sun, Jul 12 20266:07 PM EDT
Oil prices rose Sunday evening after the U.S. and Iran traded strikes as they contest control of the Strait of Hormuz, one of the most important trade routes for global energy supplies.
U.S. crude oil futures were up 3.4% to $73.87 per barrel by 6:03 p.m. ET. Brent futures, the international benchmark, traded 3.5% higher at $78.67.
The U.S. military launched another wave of strikes Sunday against Iran after hitting 140 targets on Saturday, according to U.S. Central Command. The strikes are in response to an attack by the Islamic Revolutionary Guard Corps on a container ship transiting Hormuz. Iran responded Sunday with strikes on U.S. military facilities in Jordan, Kuwait, Bahrain and Oman, according to the state news agency Tasnim.
Iranian state media said the Revolutionary Guard had closed the Hormuz until further notice, but the U.S. military disputed that claim. Centcom said the strait was open to all vessels seeking to lawfully transit.
Read more: https://www.cnbc.com/2026/07/12/oil-price-strait-hormuz-iran-trump-tanker.html
WTI is up to ~$74/bbl.
Warpy
(114,813 posts)after
Fatso goaded them with one too many insults and ultimatums.
I'm afraid the Senate will vote for his already badly bungled war.
WSHazel
(986 posts)I am not accusing them of working together to increase oil prices, but I am not saying they are working apart either.
Warpy
(114,813 posts)along with increased oil exports which will likely lead to scarcity here in the future as the military requiresmore and more of what we have left.
Dumbass.
WSHazel
(986 posts)Oil might have been around $50/barrel which would have been disastrous for American producers. Trump needs this to keep oil prices high.
Warpy
(114,813 posts)Remember, the world is still bidding up oil and natural gas that don't come out of Russia. A shortage already existed. Now it's just worse.
WSHazel
(986 posts)But demand destructions is happening quickly. China is already majority EV, and most of the rest of Asia is converting quickly. Almost 70% of Europe's car sales in 2026 are EV or hybrid. The producers see this happening, and they are pumping more, because they realize the long-term trend is their enemy.
Why do you think Qatar and UAE have left OPEC? They don't want to be constrained by OPEC's quotas.
Russia has been getting its crude and refined oil out until recently. Ukraine's devastation of Russia's shipping fleet in the Black Sea, along with taking out 20-40% of Russia's refining capacity, could impact the market.
Most of the Gulf region producers are bypassing the Strait of Hormuz, which is part of the reason that oil has not spiked.
There are a lot of hedge funds and banks very long oil, and they desperately need the price to go up. They are flooding the news with stories about how there will be an oil crisis, just like they have been doing all year. If you go back through the last 4.5 months, many analysts have predicted $150 and $200 a barrel oil. It is at $73.50 this morning, after several days of saber rattling by our Administration and Iran.
It might go way up, but it is going to take something major for that to happen.
Raftergirl
(2,050 posts)your clock to it now.
WSHazel
(986 posts)which means more oil being pumped from around the world to sell now because it will be worth less in a year or three or five.
Trump inadvertently has done more to accelerate the transition from fossil fuels than any world leader in history.
Raftergirl
(2,050 posts)This is a fairly large SUV.
I get around 40mpg in summer, 35mpg in winter.
the_liberal_grandpa
(359 posts)Pay attention to gas and diesel prices.