Brent oil tops $105 on report Iran’s top negotiator resigned
The photo, taken on March 12, 2017, shows a view of an oil facility on Khark Island off the Gulf coast.
Atta Kenare | Afp | Getty Images
Brent oil prices rose more than 3 percent on Thursday as tensions rose in the Strait of Hormuz due to blockades imposed by the United States and Iran.
Brent Oil futures closed at $105.07 per barrel, up nearly 3%. West Texas Intermediate Futures closed at $95.85, up around 3%.
President Donald Trump claimed Thursday that the United States has “total control” of the sea lane as Iran continues to demand that ships receive permission to cross the strait. Trump said that ships must get permission from the US Navy to pass through the strait.
The USA has been blockading Iranian ports since April 13.
Oil tanker traffic in the strait remains very low as the US and Iran seize ships during a fragile ceasefire. While Iran detained two cargo ships in the Bosphorus on Wednesday, the United States also seized several Iranian oil tankers.
Meanwhile, Israel’s defense minister said on Thursday that Jerusalem is waiting for a green light from the United States to restart the war against Iran and “complete the elimination of the Khamenei dynasty.”
Israel killed Iran’s religious leader Ayatollah Ali Khamenei at the beginning of the war. He was succeeded by his son Mojtaba Khamenei.
Oil prices also rose on Thursday after Israeli broadcaster N12 reported that Iran’s chief negotiator, Mohammed Bagher Galibaf, had resigned due to the intervention of the country’s Revolutionary Guard.
CNBC did not confirm the report, but possible intervention by the Revolutionary Guard raises market concerns that Tehran will take a tougher stance during negotiations with the United States
