Oil prices increased in early Asian trade on Monday following a weekend flare‑up in U.S.–Iran hostilities, though both sides said they would resume talks in Qatar later in the week. Brent Oil Futures for August climbed 0.8% to $72.56 a barrel by 19:18 ET (23:18 GMT). Light Crude Oil (LCO) was up 0.47%.
The price rise came after oil had fallen more than 10% the previous week, reaching pre‑war levels after the United States and Iran signed an interim peace agreement that halted active combat and set a framework for a broader settlement. Supply‑side improvements also supported the market, as tanker flows through the Strait of Hormuz returned to levels seen before the conflict last week.
Nevertheless, renewed attacks over the weekend revived concerns about the durability of the interim deal. The United States and Iran exchanged strikes late last week amid Tehran’s claim of authority over Hormuz, which temporarily slowed flows through the strait and added upward pressure to oil prices on Monday.
An Axios report indicated that the two parties had agreed to immediately cease hostilities and hold fresh negotiations in Qatar, limiting further price gains.
The broader regional context remains volatile: hostilities between Israel and the Lebanese militant group Hezbollah continued in southern Lebanon, and Tehran insisted that any comprehensive peace settlement must also address Lebanon’s role, keeping the overall peace outlook uncertain.