Oil prices rose on Tuesday as geopolitical tensions linked to Iran and the Strait of Hormuz continued to shape market sentiment.
International benchmark Brent crude traded at $91.67 per barrel at 9.30 a.m. local time (0630 GMT), up 5.83% from the previous close of $86.62.
US benchmark West Texas Intermediate (WTI) increased 5.55% to $87.60 per barrel, compared with $82.99 in the previous session.
Brent reached $114.30 per barrel on Monday, its highest level since June 2022, before retreating sharply later in the day.
Market volatility followed remarks by US President Donald Trump on the course of the war with Iran. Brent had fallen 4.6% on Monday, its sharpest daily drop since Feb. 2, but prices rebounded after Trump warned that the US would respond forcefully if Iran attempted to block oil flows through the Strait of Hormuz.
"If Iran does anything that stops the flow of oil within the Strait of Hormuz, they will be hit by the United States of America twenty times harder than they have been hit thus far," Trump said on his Truth Social platform.
He said the US would target "easily destroyable" sites in Iran, potentially preventing the nation from rebuilding itself.
"Death, Fire and Fury will reign upon them — But I hope, and pray, that it does not happen!" he added.
He framed the warning as a protective gesture for global trade, particularly benefiting China and other nations heavily reliant on oil shipments through the Strait of Hormuz.
"This is a gift from the United States of America to China, and all of those Nations that heavily use the Hormuz Strait. Hopefully, it is a gesture that will be greatly appreciated," he added.
Trump's warnings heightened concerns that disruptions to energy shipments through the Strait of Hormuz could persist, increasing the geopolitical risk premium in oil markets and supporting prices.
Meanwhile, Iranian Foreign Minister Abbas Araghchi dismissed the possibility of negotiations with the US after what he described as a "very bitter experience."
In an interview with PBS News, Araghchi responded to a question on whether Iran's new supreme leader, Mojtaba Khamenei, would be open to renewed talks or a ceasefire, saying "it's too soon for him to make any comment."
Araghchi's remarks that negotiations with Washington are not on the agenda reinforced expectations that tensions in the Middle East may persist, lending support to oil prices.
Meanwhile, Trump said some oil-related sanctions had been lifted to help curb rising energy prices amid escalating tensions in the Middle East.
US Treasury Secretary Scott Bessent said last week the US granted a 30-day temporary exemption allowing Indian refineries to purchase Russian oil to help maintain global supply.
Speaking to Fox Business over the weekend, Bessent said Washington is working to keep global oil supply stable and signaled that some sanctions on Russian oil could potentially be eased.
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr
