WTI holds losses near $97.50 as 30 vessels navigate through Hormuz
West Texas Intermediate (WTI) oil price remains in the negative territory after posting modest gains in the previous day, trading around $97.60 per barrel during the Asian hours on Friday. However, WTI crude is on track to rise more than 6% this week as stalled diplomatic efforts to end the United States (US)-Iran conflict leave the strategically vital Strait of Hormuz effectively closed.
Although prices dipped slightly following reports from Iranian state media that 30 vessels had successfully navigated the Hormuz, market anxiety remains high due to recent ship seizures and attacks.
The ongoing "dual blockade" of this key shipping route has become a primary sticking point in negotiations. US President Donald Trump recently characterized the current ceasefire as being on “massive life support” after dismissing Tehran’s latest response to his peace proposal.
Amid the tension, a potential shift in energy trade emerged following a two-hour summit in Beijing between Presidents Trump and Xi Jinping. The White House reported that President Xi expressed interest in purchasing more American oil to diversify China's energy sources and reduce its reliance on the volatile Strait of Hormuz.
However, the supply outlook remains grim. The IEA reported that crude and fuel flows through the Strait plunged by approximately 4 million barrels per day during March and April. The agency warned that even if the conflict is resolved by next month, the global oil market could remain significantly undersupplied through October.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
TSMC Q3 Earnings Preview: 2nm Mass Production, Strong AI Demand, HSBC Raises Target to 3,800 TWD
According to Bloomberg's calculations, TSMC's revenue for the third quarter reached NT$1.49 trillion, mainly driven by strong volume growth in 2nm processes and high utilization rates for 3nm and 5nm processes. Bank of America and HSBC have both raised their target prices, with the highest projection reaching NT$3,800. The company is expected to maintain strong growth momentum in the fourth quarter due to price increases and migration to advanced processes. Capital expenditures will remain high to strengthen its core position in AI infrastructure.
The weakest borrowers can no longer hold on! Morgan Stanley: CCC-rated credit spreads have surpassed 1000 basis points, bank stocks experience the most extreme overselling in 33 years.
U.S. stock indices are only 0.2% away from all-time highs, but there is turbulence beneath the calm surface: CCC-rated bond spreads have exceeded 1,000 basis points, marking the widest level since 2023 and credit differentiation has reached historic extremes. The gap in RSI between bank stocks and the S&P 500 is the largest in 33 years, indicating deep overselling; 10-year U.S. Treasury yields have soared to 5.30%, a new high since 2002. The upcoming bank stock earnings season, kicking off this Tuesday, is viewed as a crucial moment to test whether the market can bridge the gap between "fundamental resilience and investor concerns."
Bitcoin Up 29% Despite Strong Dollar and Higher Rates — CryptoQuant
Musk showcases AI ambitions in chipmaking and autonomous fleets: Terafab to test 10 chip designs in a year, Cybercab targets Dallas after expanding eightfold monthly
Elon Musk has recently sent the latest AI signal: he is simultaneously making large bets on chip manufacturing and autonomous vehicle fleets.
Crypto prices
More
