Oil Rises After Trump Claims 10 Tankers Passed Hormuz
Oil prices rose on Friday (March 27) after US President Donald Trump said Iran allowed 10 tankers to pass through the Strait of Hormuz this week as a "gift" to the US, signaling a limited easing of restrictions on the shipping lane crucial to global supply.
The May Brent contract rose 1.7% to US$109.79/barrel, reversing earlier losses, while May WTI rose 1.8% to US$96.18/barrel.
Trump, meanwhile, called the move a gesture of goodwill amidst the diplomatic process he claimed was underway, clarifying his "present" statement, which he had made without detail a few days earlier.
Although some tanker flows are said to have resumed, analysts believe the oil market remains fragile. Rystad Energy believes the market has "absorbed" the Hormuz disruption for nearly four weeks thanks to temporary buffers such as pre-war surpluses, crude-on-water, and supply release policies.
However, that phase is considered nearing its end as accumulated supply losses and stock drawdowns narrow the buffer. Rystad estimates that the Hormuz-related disruption has hampered approximately 17.8 million barrels per day of oil and product flows, with total liquids losses approaching 500 million barrels so far. Any additional disruptions could potentially be reflected more quickly in prices.
Source: Newsmaker.id
