Why are oil prices rising this week despite reports of ships crossing the Strait of Hormuz?

Oil prices are rising because the Strait of Hormuz remains effectively closed and the US naval blockade of Iran’s ports is still in place, fueling market concerns over fresh vessel attacks — including the seizure of a ship near Fujairah and the sinking of an Indian cargo vessel off Oman — even though Iranian state media claimed about 30 ships had successfully transited the strait.

What is the current status of US-Iran negotiations and how is it affecting oil markets?

A potential peace deal between the US and Iran remains elusive, with little tangible progress toward resolving core diplomatic differences despite a ceasefire holding since early April; market participants are waiting for a clear plan to reopen the Strait of Hormuz, and in its absence, crude prices are expected to remain elevated for the foreseeable future.

Oil heads for weekly gain on Hormuz strain amid stalled US-Iran talks

May 15, 2026

Oil prices climbed nearly 7% this week amid Strait of Hormuz tensions and stalled US-Iran talks, with the IEA warning of severe undersupply until October impacting petrochemical sectors.

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