Oil heads higher as US-Iran peace talks in stalemate
Summary
Oil prices rose more than 1% as US-Iran talks stalled and tensions persisted across the Middle East. Washington rejected an Iranian proposal tied to reopening the Strait of Hormuz, while Houthi attacks on Saudi Arabia increased supply concerns even as regional exports reached their highest level since February.
Markets are pricing geopolitical risk faster than current export volumes can offset it. The combination
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Higher oil prices could spread the conflict’s costs through transport, inflation, and energy markets even if exports remain strong.