Oil prices pushed higher again on Wednesday, adding to a multi-session advance after reports suggested Washington is preparing to prolong its blockade of Iranian ports—heightening the risk of ongoing supply constraints from the Middle East.
According to The Wall Street Journal, Donald Trump has told aides to get ready for an extended blockade targeting Iran, citing U.S. officials.
The report said the plan is to tighten pressure on Iran’s economy and curb its oil exports by restricting maritime traffic linked to its ports.
Brent crude for June delivery rose 52 cents, or 0.47%, to $111.78 a barrel at 01:54 GMT, marking an eighth straight day of gains. The June contract expires Thursday, while the more actively traded July contract was up 0.4% at $104.84.
U.S. West Texas Intermediate crude for June climbed 57 cents, or 0.57%, to $100.50 a barrel, following a 3.7% jump in the previous session. Prices have now advanced in seven of the past eight sessions.
“The recent rise in oil prices has been driven by the Strait blockade. If Trump is prepared to extend the blockade, supply disruptions would worsen further and continue to push oil prices higher,” said Yang An, an analyst at Haitong Futures.
Although a ceasefire remains in place in the conflict involving the U.S., Israel and Iran, talks have yet to produce a lasting resolution. Iran continues to restrict traffic through the Strait of Hormuz—a channel for roughly 20% of global oil and liquefied natural gas shipments—while the U.S. maintains its blockade of Iranian ports.
Washington is pressing Iran to halt what it describes as a nuclear weapons program, while Tehran is seeking compensation for the recent conflict, relief from sanctions and greater influence over the Strait of Hormuz.
The continued disruption at Hormuz is also tightening global supply conditions. Market sources said the American Petroleum Institute reported another weekly decline in U.S. crude inventories.
Crude stockpiles fell by 1.79 million barrels in the week ending April 24, according to the sources. Gasoline inventories dropped by 8.47 million barrels, while distillate stocks declined by 2.60 million barrels.
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