Oil Prices Rise as Hopes for Hormuz Deal Fade

Oil prices have continued to climb amid diminishing hopes for reopening the Strait of Hormuz, according to AFP. The situation is renewing fears of inflation and bolstering expectations for at least one US interest rate increase this year.

Brent crude oil prices have risen about 10 percent in the past week. During the same period, the US and Iran appear no closer to an agreement regarding the strategically vital waterway. As of early Tuesday morning, Brent crude was trading at $87.97 a barrel, while West Texas Intermediate crude stood at $82.40.

“

I will demand compensation from Iran for the latest conflict as part of any future peace negotiations.

President Donald Trump stated Monday that he would demand compensation from Iran for recent conflicts as part of any future peace negotiations. He cited decades of attacks and killings that he claims were either supported or carried out by Iran. The president's remarks were a response to Iran's demand that the US compensate the country for losses following American attacks on its nuclear facilities in June.

Trump indicated Sunday that he is only partially negotiating with Iran, describing the country as "keeping it at a low burn." According to AFP, the president suggested he is prepared to increase economic pressure rather than conduct further military strikes.

“

keeping it at a low burn.