September WTI crude oil (CLU26) today is down -0.03 (-0.03%), and September RBOB gasoline (RBU26) is up +0.0219 (+0.69%). Crude oil and gasoline prices are mixed today. Crude prices gave up an early advance today and turned slightly lower on signs that larger-than-expected volumes of crude oil are moving out of the Persian Gulf despite hostilities between the US and Iran.
Crude prices also came under pressure on signs that Iran and Oman are close to signing a deal to reopen the Strait of Hormuz. Wall Street Thinks Monolithic Power Is a Buy. Here's Why It Might Be Right.
Crude Prices Jump as US-Iran War at a Standstill Cooler US Weather Forecasts Weigh on Nat-Gas Prices Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Crude prices are sliding today as many Gulf countries are able to successfully transit crude shipments through the Strait of Hormuz despite attacks by Iran on shipping through the strait.
Last week, US Energy Secretary Wright said that 9 million bpd crossed through the strait over the past seven days, higher than expectations of 4 million bpd. According to vessel-tracking data compiled by Bloomberg, Kpler and Vortexa, the UAE, Qatar, Iraq and Kuwait have all been shipping crude oil out of the Persian Gulf by turning off the transponders on their oil tankers, or "dark" transits. Crude prices initially moved higher today amid fresh Israeli attacks on Iran-backed Hezbollah in Lebanon, dampening the prospects of ending hostilities in the Middle East and a quick reopening of the Strait of Hormuz.
Also, Israel has struck Iran-backed Hamas in Gaza, the Yemen- based Houthis have attacked ships in the Red Sea, and several vessels have been hit by projectiles in the Strait of Hormuz. However, crude prices came under pressure on signs that Iran and Oman appear to be edging closer to a deal on how the Strait of Hormuz should be managed, agreeing on routes through the waterway. Iranian Foreign Ministry spokesman Baghaei said the finalization of a "shipping map" forms part of a broader accord to govern traffic through the strait and constitutes an independent arrangement between the two states that will uphold their sovereignty and ensure the safe transit of vessels.
Treasury Secretary Bessent said last Friday that the administration will soon announce unprecedented economic measures against Iran that "have never been seen in the history of economic isolation of a country." The economic measures would add to the current US naval blockade of Iranian ports. There have been no signs of progress toward a US-Iran agreement to fully open the Strait of Hormuz. An Iranian military spokesperson said last Thursday that no ship can safely pass the Strait of Hormuz without Iran's authorization and supervision and that President Trump's claims of control over the Strait are "nothing more than lies." The Iranian statement was in response to President Trump's comment last Tuesday that the US has "total control over the Hormuz Strait" and that "we own it." In a supportive factor, the International Energy Agency (IEA) said in its monthly report, released last Wednesday, that the global oil supply deficit will worsen, even as oil demand is taking a hit from the war and high prices.
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