June WTI crude oil (CLM26) on Thursday closed up +2.89 (+3.11%), and June RBOB gasoline (RBM26) closed up +0.0858 (+2.65%). Crude oil and gasoline prices settled sharply higher on Thursday, with gasoline climbing to a 3.75-year high. Energy prices remain underpinned as the Strait of Hormuz remains essentially closed, threatening to deepen the global energy crisis. Gains in crude prices accelerated on Thursday on signs the war in Iran will persist after President Trump said a deal with Iran will only be made "when it's appropriate and good" for the US and its allies.
US peace talks with Iran remain in limbo. The US and Iran are locked in a battle for control of the Strait of Hormuz, with both sides blocking the waterway to gain leverage during an extended ceasefire. The US said it was waiting for a response from Iran before peace talks could restart, and Iran said it will not resume negotiations while a US naval blockade on its ports is in place.
