Crude Oil Rallies for Four Consecutive Days as U.S.-Iran Standoff Keeps Strait of Hormuz Supply Risks Alive
Nashnova编辑部
WTI crude rose for a fourth straight session to $85.42 a barrel, bringing the four-day gain to nearly 5%, as a total breakdown in US-Iran talks leaves the Strait of Hormuz — and the inflation outlook — in limbo.
Four days up — how big is the move?
WTI September contract gained 0.6% to $85.42/bbl; Brent October rose 0.2% to $91.02/bbl.
Over the prior three sessions WTI had already climbed 4.5%; the four-day total is close to 5%.
This means → this is not a one-day sentiment blip but a sustained, fundamentals-driven rally.
What is driving it? Where is the US-Iran deadlock stuck?
The core catalyst: President Trump said Tuesday that no negotiations with Iran are taking place.
The Strait of Hormuz — the chokepoint linking Persian Gulf producers to global markets — has seen actual transit volumes shrink sharply since the conflict erupted in late February.
In plain terms = roughly a fifth of the world's crude passes through this corridor. The corridor is jammed, no talks are even on the table, and nobody knows how long the blockage lasts.
What do the inventory numbers say?
API data showed a small draw in nationwide US crude stockpiles, including at the Cushing, Oklahoma hub — the key WTI delivery point.
Distillate fuel (including diesel) inventories are also expected to have fallen.
The EIA's official inventory report is due later Wednesday; a confirmed draw would reinforce near-term price support.
Beyond the Middle East — what else is pushing prices up?
In the Russia-Ukraine conflict, ongoing Ukrainian strikes on Russian refineries are tightening refined-product supply.
Product prices — especially diesel — have risen faster than crude itself.
This reflects a squeeze not just at the wellhead but at the refining stage too; the supply chain is under pressure from both ends.
What does this mean for everyday consumers?
The crude rally is steadily building inflation pressure, feeding through from the pump to logistics costs.
This means → unless the US-Iran standoff breaks or the refinery strikes stop, the energy-price fire is unlikely to cool in the near term.
Put simply = two conflicts are squeezing supply at the same time — one blocks the export corridor, the other knocks out refining capacity. Prices need at least one of those conflicts to turn a corner before they come back down.
Content is for reference only, not financial advice.