Brent Set for 6% Weekly Gain

Brent crude oil held above $76 per barrel on Friday and remained on track for a weekly gain of nearly 6% as renewed US-Iran strikes delayed a full recovery in tanker traffic through the Strait of Hormuz. Despite the escalation, negotiations between Washington and Tehran toward a longer-term agreement are reportedly continuing, with technical discussions still underway. The International Energy Agency warned that a prolonged conflict could disrupt efforts to rebuild global oil inventories later this year after recent supply losses. Market attention remained focused on the impact on regional energy flows, with vessel tracking data showing traffic through Hormuz stayed significantly below normal levels. However, the United Arab Emirates raised crude production to a record high last month, highlighting efforts by Gulf producers to offset disruptions.

Brent fell below $76 per barrel on Friday, extending losses from the previous session as reports indicated that the US and Iran will continue peace negotiations despite a recent escalation in hostilities that disrupted energy shipments through the Strait of Hormuz. Even so, international benchmark Brent remained on track to advance nearly 6% for the week after US forces carried out strikes on targets in Iran over two consecutive days in response to recent attacks on vessels in Hormuz, triggering retaliatory attacks by Tehran on US bases across the region. President Donald Trump also raised doubts about the interim peace agreement following the renewed fighting, declaring that the deal was over. Shipping traffic through Hormuz slowed sharply this week, with markets closely monitoring whether transit activity will normalize. The strategic waterway continues to be a key sticking point in ongoing US-Iran negotiations.

Brent crude oil slipped below $73 per barrel on Thursday after surging 4.4% in the previous session, its biggest daily gain since May, as investors reassessed the impact of renewed US–Iran tensions on Middle East supply. The latest escalation, including additional US strikes on Iran and retaliatory attacks on American bases in the region, has put the Strait of Hormuz back at the center of energy market concerns. Still, the scale of any disruption to oil flows remains unclear. Vessel tracking data showed fewer transits through the strait, with most visible traffic moving along routes approved by Iran, while activity on the US-backed Omani corridor was limited. Traders noted, however, that substantial volumes of crude had continued moving through Hormuz before the ceasefire, with some shipments only appearing in tracking data days later because of weak or disabled signals.