Crude oil prices rose on Wednesday as Houthi militants struck a Saudi Arabian tanker in the Red Sea.
Crude oil prices rose on Wednesday after Yemen's Iran-backed Houthi militants claimed to have struck a Saudi Arabian tanker with a missile near the coast of Yanbu. Brent crude rose 1% to $80.22 per barrel, while U.S. West Texas Intermediate futures traded 0.46% higher to $76.12. The strike occurred as the U.S., Iran, and Oman hold talks to stabilize the security situation in the Strait of Hormuz. The administration announced that negotiations for an interim deal are underway, where inbound ships would transit Iran's territorial waters while outbound ships would sail through Oman's waters. Treasury Secretary Scott Bessent stated that a deal to unlock the waterway could be reached this week. The U.S. and Iran previously signed a memorandum of understanding to open the strait, but the agreement collapsed due to fighting over ship routes. Washington retaliated against Iran with airstrikes and a naval blockade. President Trump said the negotiations went all day long and expressed optimism regarding the progress.