Oil prices extended their recent rally on Wednesday, marking a third consecutive session of gains after U.S. President Donald Trump warned that additional military action against Iran remains possible. Concerns over global crude supplies also remained elevated after Washington reinstated its maritime blockade on Iranian shipping through the Strait of Hormuz.
Crude prices remain near one-month highs
As of 03:53 ET (07:53 GMT), Brent crude futures for September delivery rose 0.6 percent to 85.23 dollars a barrel, while West Texas Intermediate crude futures gained 0.4 percent to 79.67 dollars a barrel.
Both benchmarks remained close to their highest levels in around a month after climbing almost 10 percent earlier this week.
Military tensions continue to support oil
The U.S. military confirmed it carried out additional strikes early Wednesday targeting Iranian capabilities believed to be used in attacks on commercial vessels operating through the Strait of Hormuz.
In an interview with Fox News broadcast on Tuesday evening, President Trump said military operations would continue unless Iran agreed to resume negotiations.
“We will keep striking Iran unless it returns to the negotiating table,”
he warned, adding that U.S. forces could target power plants and bridges as early as next week if no agreement is reached.
Trump also said military and coastal infrastructure would remain targets, while indicating that energy facilities would not be attacked for the time being.
Shipping restrictions keep supply concerns elevated
Oil prices also found support after the United States formally reinstated its maritime blockade on Iranian shipping on Tuesday evening.
However, Trump later withdrew a proposal announced a day earlier that would have introduced a 20 percent transit fee on cargo passing through the Strait of Hormuz after opposition from several Gulf allies.
Despite that reversal, ongoing geopolitical tensions continue to raise concerns about potential disruptions to global energy supplies, helping to keep crude prices well supported.