WTI, Brent rise as Trump threatens strikes on Iran infrastructure
One of the two tankers, VLCC Mobassa B (formerly Front Forth), was hit by Iranian cruise missiles while passing through the Strait of Hormuz in Rotterdam, Netherlands, on August 18, 2024, the UAE defense ministry said. This photo was obtained by Reuters on July 14, 2026.
Edwin van Werd | via Reuters
Oil prices rose on Thursday after US President Donald Trump threatened to bomb Iranian infrastructure in response to any attack on ships passing through the Strait of Hormuz, raising fears that the conflict that has already disrupted crude oil supplies will escalate further.
Brent crude futures for September delivery rose 2% to $95.99 per barrel. U.S. West Texas Intermediate crude oil futures rose around 1.7% to $88.27 per barrel.
“From this point forward, if the Islamic Republic of Iran fires a Missile, Rocket, Drone, or any other device or weapon at a ship in the Strait of Hormuz, the United States will bomb and destroy a SINGLE BRIDGE OR POWER PLANT,” Trump said on Wednesday.
Iran responded by warning that it would retaliate against US-linked infrastructure and energy assets in the region if Washington carried out these attacks.
“If the Americans target a bridge or power plant in Iran, Iran will also hit infrastructure and bridges in the region, including energy facilities where the United States has interests,” an unnamed Iranian military source told the state-run Tasnim News Agency.
Earlier Wednesday, Secretary of State Marco Rubio said Iran was not “serious” about reaching a deal with Washington, while maintaining that the United States “remains committed to diplomacy” in the Middle East.
HSBC said in a note late Wednesday that the recent rise in oil reflected renewed concerns about the Strait of Hormuz following the breakdown of the US-Iran ceasefire, warning that the outlook now depends on whether diplomacy can restore predictable shipping flows.
“Since July 7-8, the ceasefire has eroded as Iranian attacks on ships passing through the Strait of Hormuz led to retaliatory strikes by the United States,” said Kim Fustier, the bank’s senior global oil and gas analyst.
“The main issue remains unresolved: whether the transit will be managed and by whom. Looking back, we see that this outcome was less favorable to Iran as traffic increased on the US-run Oman line,” Fustier added.
