Oil gains despite Trump extending strike pause on Iranian energy sites
Brent crude has shrugged off US President Donald Trump’s latest efforts to ease pressure on prices, continuing to trade above the $100/bbl mark.
IMAGE: Flags of the US and Iran. Getty Images
Trump posted on the social media platform Truth Social yesterday that the US was extending its pause on strikes targeting Iranian power plants by 10 more days. According to him, the US will not strike until 6 April at 20.00 ET (00.00 GMT).
Washington has said it is engaging with Tehran on potential talks to end the Middle East conflict, which is set to enter its fourth week tomorrow, although Iranian officials have rejected such claims.
“Oil prices were volatile… trading on either side of $100/bbl, as markets weighed mixed signals around potential US‑Iran talks,” two analysts from ING Bank wrote.
Iran has permitted 10 tankers to pass through the Strait of Hormuz, the US President claimed during a press briefing at the Oval Office, calling it a development in efforts to resolve the conflict.
“Talks are ongoing and… they are going very well,” Trump said. However, Brent crude’s price largely ignored the downward pressure – remaining well above $100/bbl at the time of writing.
Vessel traffic in the Gulf region has been curtailed for several weeks, with Iran controlling transits through the Strait of Hormuz and permitting only limited cargo movements.
About 20% of global oil supply flows through the critical waterway. While allowing a handful of tankers to pass may provide short-term relief, it falls short of a return to normal trading conditions, according to market analysts.
“Any credible de‑escalation could trigger a renewed risk‑on move, but for now uncertainty remains elevated,” ING Bank’s analysts added.
By Aparupa Mazumder
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