Brent crude closed Wednesday at $84.95 per barrel, up 0.26%, as markets assessed the impact of the U.S. resumption of a naval blockade of Iranian ports that took effect Tuesday. West Texas Intermediate (WTI), the U.S. benchmark, rose 0.33% to close at $79.60.
North Sea crude has recorded a week-long upward trend after an initial jump of nearly 9.6% on Monday, although gains have since moderated. The price remains close to the psychological $85-per-barrel mark, its highest level of the month, according to market analyst Fiona Cincotta.
Despite the increase, investors traded without a clear direction. Uncertainty centers on Washington’s strategy in the Middle East, compounded by a reversal from President Donald Trump, who earlier in the week announced a 20% toll for vessels crossing the Strait of Hormuz and subsequently abandoned the plan.
The United States Central Command (CENTCOM) said Wednesday on social platform X that, since the blockade was reimposed, its forces diverted two commercial vessels that, the command said, “were attempting to evade it.” “The U.S. military remains vigilant and prepared to ensure full compliance,” the agency added.
Only 13 commercial vessels transited the strait on Tuesday, according to data from analytics firm Kpler. The figure reflects the immediate effect of the measures on maritime traffic along one of the world’s busiest energy routes.
Cincotta warned of growing market concern that Iran could “use its Houthi allies in Yemen to disrupt shipping” through the Bab el-Mandeb Strait, potentially restricting another key route for global energy supplies. Analyst David Morrison of Trade Nation added that, although both sides have claimed control of the Strait of Hormuz, “there is no doubt that Tehran is in a position to attack vessels” attempting to pass through the waterway.
The International Monetary Fund (IMF) published an analysis Wednesday warning that renewed hostilities in the Middle East could have significant repercussions for the global economy and the oil market.