Crude oil prices neared $100 again on Thursday, as tanker traffic through the Strait of Hormuz remains very low with no clear pathway to fully reopen the vital sea lane.
International benchmark Brent for June delivery surged nearly 5% to close at $99.39 per barrel. West Texas Intermediate crude for May rose almost 4% to settle at $94.69 per barrel.
Just a few oil tankers are passing through the strait daily as the U.S. Navy blockades Iran’s coast and Tehran threatens to retaliate against ships in the Persian Gulf.
President Donald Trump told reporters Thursday that the U.S. and Iran will “probably” meet over the weekend for a second round of negotiations. But a date has not been set officially for the talks.
Trump announced earlier that Israel and Lebanon had agreed to a 10-day ceasefire. Israel’s war against Hezbollah had been a sticking point in the failed talks between the U.S. and Iran last weekend in Pakistan.
Several European and Gulf Arab leaders believe it could take six months to negotiate a U.S.-Iran deal, people familiar with the matter told Bloomberg.
Meanwhile, the two-week ceasefire between the U.S. and Iran will expire on Tuesday, April 21.
Trump agreed to the truce in exchange for Iran opening the strait to traffic, but Tehran has sought to maintain control over shipping in the sea lane.