US-Israel-Iran War Latest Live News: The global oil market is once again caught between hopes of a diplomatic breakthrough and fears of another supply shock. Crude prices moved higher on Monday, August 10, as traders struggled to determine when the Strait of Hormuz could return to normal operations amid continuing tensions between Iran and the United States.
The latest move came after Iran said discussions with Oman on a new shipping arrangement through the strategic waterway were nearing completion. However, Tehran also made clear that a potential agreement would not automatically mean the immediate reopening of the strait. Iran continues to demand additional steps from Washington, keeping uncertainty high for oil traders and shipping companies.
Brent crude futures rose 91 cents, or 1.09%, to $84.46 a barrel, while US West Texas Intermediate (WTI) futures gained 61 cents, or 0.78%, to $78.79 a barrel.
The latest gains came after both benchmarks fell more than 7% last week amid expectations that Iran and Oman were close to an arrangement that could improve shipping through the Strait of Hormuz. The sharp reversal shows how quickly oil markets are reacting to every new development around the key energy corridor.
US-Israel-Iran War Latest Live News: Why Are Oil Prices Rising Today?
The main reason behind Monday’s rise is renewed uncertainty over the timing and conditions for reopening the Strait of Hormuz.
Iranian Foreign Minister Abbas Araghchi said over the weekend that an agreement with Oman to establish a shipping route through the strait was “very close.” However, he also said that reaching an arrangement would not necessarily result in an immediate reopening of the waterway.
That distinction has become crucial for oil traders.
Markets had previously priced in the possibility that a deal could quickly restore tanker traffic through the strait. The latest comments from Tehran have reduced those expectations and encouraged traders to add a geopolitical risk premium to crude prices.
Oil prices therefore moved higher even though negotiations continue, as investors remain unsure about how quickly a new shipping system could become operational.
US-Israel-Iran War Latest Live News: Why Strait of Hormuz Reopening is Important?
The Strait of Hormuz remains at the centre of the oil-market story because of its importance to global energy supplies.
The waterway connects the Persian Gulf with the Gulf of Oman and serves as a major route for crude and other energy shipments from Gulf producers. Around one-fifth of the world’s oil supply moved through the strait before the current disruption.
Any prolonged restriction on tanker traffic can therefore affect crude availability, shipping costs and energy prices across global markets.
The current situation has also pushed traders to focus on alternative routes and the possibility that shipping through Hormuz could resume under stricter conditions rather than return immediately to pre-war levels.
Recent reports indicate that the potential Iran-Oman arrangement remains focused on creating a controlled shipping corridor, rather than guaranteeing a full and unrestricted reopening of the waterway.
US-Israel-Iran War Latest Live News: Brent Crude Price Today
Brent crude futures gained 91 cents, or 1.09%, to $84.46 per barrel on Monday.
The benchmark had suffered a sharp decline last week as traders became more optimistic about an agreement that could ease restrictions around the Strait of Hormuz.
Monday’s recovery indicates that traders have started reassessing those expectations.
The key issue is no longer simply whether Iran and Oman can reach an agreement. Investors also want to know whether the agreement will allow enough tankers to move safely and whether Tehran and Washington can resolve their wider disagreements.
That uncertainty is keeping Brent prices elevated.
US-Israel-Iran War Latest Live News: WTI Crude Price Today
US West Texas Intermediate crude futures also moved higher on Monday.
WTI rose 61 cents, or 0.78%, to $78.79 a barrel.
Like Brent, WTI had fallen sharply during the previous week as the market anticipated progress toward restoring shipping through Hormuz.
The latest gains show that traders remain highly sensitive to geopolitical developments in the Middle East. Any indication of a delay in reopening the waterway can quickly reverse the recent decline in oil prices.
US-Israel-Iran War Latest Live News: Iran-Oman Talks-What is Tehran Saying?
Iran has indicated that negotiations with Oman have moved close to an agreement over a new shipping route.
However, Tehran has also rejected the idea that the arrangement alone will settle the broader dispute with Washington.
Araghchi said the agreement was “very close,” but he ruled out direct negotiations with the US for now. Iran has accused Washington of violating an interim peace agreement reached in June.
Tehran has also linked the full reopening of the waterway to several conditions, including an end to the US naval blockade, the lifting of sanctions and compensation for damage caused during the conflict.
Iran’s position means that the shipping arrangement and the broader US-Iran dispute remain closely connected.
US-Israel-Iran War Latest Live News: Trump Signals a More Cautious Approach
US President Donald Trump has also changed his tone as diplomatic efforts continue.
After weeks of threats of further military action against Iran, Trump told Axios on Sunday that Washington was now “low-keying it.”
The comment suggests that the US may be taking a more measured approach while negotiations over the future of Hormuz continue.
However, the uncertainty has not disappeared. The US has maintained that it is involved in discussions over management of the strait, while Tehran has rejected that claim.
This disagreement remains one of the biggest obstacles to a clear reopening timetable.
US-Israel-Iran War Latest Live News: Fresh Middle East Attacks Add to Oil Market Risk
While diplomatic discussions have raised hopes of easing the crisis, new security incidents have kept traders nervous.
Iran-backed Houthi militants in Yemen claimed responsibility for an attack on Saudi Arabia’s Jazan refinery. A tanker operated by Abu Dhabi National Oil Co. was also targeted in the Strait of Hormuz over the weekend.
These incidents have increased concerns that the wider regional conflict could threaten energy infrastructure and commercial shipping even if Iran and Oman reach a limited agreement.
For oil traders, the risk is therefore not limited to the reopening of Hormuz. Any fresh attack on refineries, tankers or other energy infrastructure could quickly push crude prices higher.
US-Israel-Iran War Latest Live News: Why Did Oil Prices Fall Last Week?
The latest rise comes after a major decline in crude prices last week.
Brent and WTI both dropped more than 7% as traders expected progress between Iran and Oman to create a pathway for shipping through the Strait of Hormuz.
That sell-off reflected expectations of improving supply conditions.
However, Monday’s reversal shows that traders may have moved too quickly in pricing in a full return to normal shipping.
The market is now waiting for concrete details about the proposed route, the conditions attached to it and the timeline for implementation.
US-Israel-Iran War Latest Live News: What Happens to Oil Prices Next?
The direction of crude prices will largely depend on developments around the Strait of Hormuz.
A confirmed agreement that allows large numbers of commercial vessels to pass safely could put renewed pressure on Brent and WTI prices. Traders would likely remove part of the geopolitical premium that has supported crude during the crisis.
However, a prolonged delay, new US-Iran tensions or another attack on energy infrastructure could push prices higher.
The market will therefore closely watch three developments: the final details of the Iran-Oman shipping arrangement, Iran’s conditions for reopening Hormuz and the US response to Tehran’s demands.
US-Israel-Iran War Latest Live News: What Should Investors Watch?
Investors should prepare for continued volatility in the oil market.
The recent price action shows that crude can move sharply in either direction as traders react to diplomatic headlines. Last week’s decline and Monday’s rebound demonstrate how quickly expectations can change.
For now, Brent remains above $84 a barrel, and WTI remains near $79, with the Strait of Hormuz continuing to dominate the market outlook.
The biggest question is no longer simply whether Iran and Oman can reach an agreement. The market wants to know whether that agreement can produce a safe, reliable and sustained return of tanker traffic through one of the world’s most important energy chokepoints.
Until that becomes clear, oil prices are likely to remain highly sensitive to every development in the US-Iran conflict.
