Crude futures rose midday Thursday as investors awaited the outcome of negotiations over reopening the Strait of Hormuz.
As of 11:45 a.m. ET, the October ICE Brent crude contract was trading $2.12 higher at $81.57/bbl, with November up $1.78 at $79.64/bbl. September West Texas Intermediate traded $1.64 higher at $76.86/bbl, with October WTI up $1.50 at $75.55/bbl.
Refined product futures were also trading higher. The September RBOB contract rose 7.95cts to $2.9183/gal, with the October contract up 7.25cts at $2.6728/gal. September ULSD rose 4.88cts to $3.845/gal, with October up 5.34cts at $3.7548/gal.
Attention remained centered on developments surrounding the Strait of Hormuz, where Iran and Oman were working toward an agreement on restoring shipping through the key waterway. According to The Wall Street Journal, the latest draft would give Tehran oversight of vessels entering the Persian Gulf without allowing it to impose tolls or service fees.
Analysts cautioned that optimism remained measured despite expectations for progress. Deutsche Bank said markets have experienced multiple "false dawns" during the conflict and that while the market continues to lean toward a positive outcome, much of that optimism already appears to be reflected in prices.
