Oil prices rise as concerns grow over 'fragile' US-Iran ceasefire
Oil prices rose as concerns grow over whether a fragile US-Iran ceasefire will hold after Israel launched a wave of strikes on Lebanon. Global benchmark Brent crude rose 2% to $96.53 a barrel, while US-traded West Texas Intermediate was 2.8% higher at $97.02 as pressure mounted on what Vice President JD Vance described as a "fragile truce". Donald Trump has said the country's forces will remain in the region until Iran complies with the "real" ceasefire agreement.
Tehran warned of a "regret‑inducing response" if the attacks continue. Oil prices had plunged on Wednesday after an agreement to pause the conflict was announced, which included the reopening of the key Strait of Hormuz waterway. Iran said the crucial shipping route will stay closed because of the Israeli strikes. Stock markets also reversed some major gains they made on Wednesday. Japan's Nikkei 225 index dipped by 0.5%, while the Kospi in South Korea was down 1.8%. Victoria Scholar said, "I think there's a little bit of nervousness in global markets," and "Markets are giving back some gains… and I think that reflects a lot of uncertainty over whether the Strait of Hormuz is actually open."
Sim Moh Siong said the flow of energy shipments through the strait will be the focus in the days ahead while uncertainty remains over how Tehran plans to oversee the movement of vessels. Iran's navy warned that any vessels seeking to cross the Strait of Hormuz without permission "will be targeted and destroyed". Only a handful of ships have crossed the waterway since the deal was announced - well below the rate of some 130 vessels that transited daily before the war. It will take
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Global oil prices are reacting to a fragile US-Iran ceasefire amidst ongoing conflict in the region. Reports of continued strikes and warnings are raising concerns about energy supplies - but will this truce hold?
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