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US Oil Update: Futures Climb After Iran Attacks 2 Tankers in Hormuz

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Crude futures advanced in midday trading on Friday after reports that Iranian forces attacked two oil tankers near the Strait of Hormuz, stoking concerns over potential supply disruptions via the key energy chokepoint.

Front-month West Texas Intermediate crude futures rose by 1.7% to $84.99 per barrel, while Brent futures advanced 1.2% to $90.06/bbl.

Gelber & Associates said crude has extended its rally to $85.37/bbl, capping off a monthly surge of about 20%, the best since March, as fresh US strikes on Iranian military targets keep the geopolitical risk premium firmly in place near chokepoints like the Hormuz.

The Persian Gulf Strait Authority said on Friday that passage through the Strait remains unfeasible due to continued "aggressive actions" by US forces in the region.

The authority said requests for passage permits would be reviewed and issued gradually once stability is restored, without providing a timeline for when normal operations could resume.

Iran's Islamic Revolutionary Guard Corps also said that it attacked two tankers as they tried to transit the Strait under US military escort, according to local media reports. Four other tankers turned back after the strikes.

Soojin Kim, research analyst at MUFG, said that though shipping via the strategic waterway has shown signs of improvement, security risks remain elevated as Saudi Arabia seeks to build an international coalition to protect the Red Sea following Houthi attacks.

Iran's army said it targeted US military facilities in Kuwait and Bahrain on Friday in response to the US attacks.

Tehran said it targeted aircraft shelters, satellite communication systems and equipment storage facilities used by the US military at Kuwait's Ahmad al-Jaber Air Base in a drone strike.

On Thursday, Iran's army also claimed to have attacked US facilities at Sheikh Isa Air Base in Bahrain, targeting power generators, navigation systems and support buildings.

Meanwhile, the US Central Command said on Thursday that its forces were still blockading Iranian oil exports via the Gulf and had completed a heavy wave of strikes. The US military currently has over 50,000 service members deployed across the Middle East.

President Trump is reportedly weighing whether to resume major combat operations against Iran, with Centcom preparing an option for a 10- to 14-day intensive air campaign aimed at degrading Tehran's missile capabilities.

Erik Meyersson, chief emerging markets strategist at SEB Research, said that the conflict has already spread geographically, and Iran's recent attacks have grown less reciprocal and increasingly assertive.

The Saudi Defense Ministry said on Thursday that over 40 countries attended a meeting to discuss "strengthening maritime defense cooperation and unifying efforts to protect the security of maritime passages.

The push to create a naval alliance comes as Iran-backed Houthi militants in Yemen declared a maritime embargo of Saudi Arabia last week. Iran has repeatedly attacked ships transiting the Strait.

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