Shipping attacks push Brent crude above $90 as Hormuz talks stall

Mid-week oil markets surged after a series of attacks on shipping in the Middle East, pushing Brent crude to nearly $90 a barrel. Yemen's recognized government blamed the Iran-aligned Houthis for a missile strike that killed six people on a vessel in the Bab al-Mandeb, while US Central Command reported disabling a Panama-flagged cargo ship attempting to breach the US blockade of Iranian ports. Market analyst Tim Waterer noted that hopes for a swift deal to reopen the Strait of Hormuz are fading as talks between Oman and Iran show no visible progress.

Qatar's foreign ministry said negotiations are advanced, but Tehran insists the waterway will remain shut until the United States lifts sanctions and pays reparations. US President Donald Trump claimed Washington has total control of the strait, even though only ten vessels crossed on Monday compared with about 130 before the conflict. The US Energy Information Administration projects Brent to average $87 in 2026 and expects Middle East oil output to normalize only by early 2027, while OPEC output will rise only after normal traffic resumes through Hormuz.