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Oil prices surged as markets remained sceptical peace talks could quickly restore Middle East energy flows, with disruptions at the Strait of Hormuz tightening global supply despite ceasefire announcements and diplomatic signals.
Transcript
00:00Oil prices rose on Thursday on skepticism that forthcoming peace talks between the U.S. and Iran would be able
00:06to resolve disruptions to Middle Eastern energy supplies caused by the ongoing war.
00:11Brent crude futures climbed $4.46 or 4.7 percent to settle at $99.39 a barrel.
00:19U.S. West Texas Intermediate crude futures gained $3.40 or 3.7 percent to settle at $94.69 a
00:27barrel.
00:30The U.S.-Israeli war with Iran stands as the largest ever disruption of global oil and gas supplies due to
00:36Iran's interruption of traffic through the Strait of Hormuz,
00:39which typically carries about 20 percent of the world's oil and liquefied natural gas flows.
00:44Each day that passes with maritime traffic still effectively shut means all users worldwide are running down supply-tightening markets.
00:52U.S. and Iranian negotiators have scaled back their expectations for a comprehensive peace deal
00:57and are instead seeking a temporary memorandum to prevent a return to conflict, two Iranian sources told Reuters on Thursday.
01:05By contrast, U.S. President Donald Trump later said the U.S. is very close to a deal with Iran,
01:11an assertion he has previously made.
01:14Oil benchmarks barely reacted to his remarks.
01:17Oil markets also did not react to Trump's announcement of a 10-day ceasefire between Israel and Lebanon in their
01:24related conflict starting Thursday.
01:27Oil markets in their
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