FX.co ★ Crude Oil Extends Rally on US-Iran Deal Uncertainty

Crude oil climbed above $83 per barrel on Tuesday, extending its rally for a fourth straight session as prospects for a US–Iran deal to fully reopen the Strait of Hormuz continued to dim. President Donald Trump introduced additional conditions for Tehran, further complicating talks over the strategic waterway. He stated that Iran would have to compensate victims it has killed in conflicts as part of any future negotiations, responding to Tehran’s own demands for war-related reparations.

Separately, a spokesperson for Qatar’s foreign ministry said that negotiations between Oman and Iran were at an advanced stage, offering a measure of optimism for progress toward an agreement. Oil prices were further supported by supply concerns in the United States, as the latest data showed crude stocks in the Strategic Petroleum Reserve had fallen to their lowest level in more than 40 years.