Crude oil climbed more than 3% to around $74 per barrel on Monday after the US launched another wave of strikes against Iran, intensifying concerns over supply disruptions in the Middle East. Iran declared the Strait of Hormuz closed until further notice, while Western naval forces maintained that the key shipping route remained open.
President Donald Trump said the US would likely take control of the strait and seek reimbursement for securing it, although he provided no further details.
Tehran said talks to reduce tensions were continuing despite the interim peace agreement entering a "crisis phase." Iran also targeted US allies across the region, with Kuwait reporting damage to an offshore drilling platform.
Tanker traffic through Hormuz remained subdued, although the Omani shipping corridor stayed operational.
Meanwhile, OPEC lowered its 2026 oil demand growth forecast to 800,000 barrels per day.