WTI Crude Hovers Near $92 as Iran-Israel Tensions Threaten Global Oil Routes

On Tuesday, WTI crude futures hovered near $92 per barrel after surging more than 5% at the start of June, amid escalating geopolitical tensions. According to Iranian media reports on Monday, Tehran suspended communications with Washington following Israeli airstrikes on Lebanon, while Iran and regional allies are reportedly considering a full closure of the Strait of Hormuz and Bab el-Mandeb—critical global oil transit routes.

US President Trump stated that negotiations are ongoing, with a possible memorandum of understanding on reopening the Strait of Hormuz potentially achievable by next week. Lebanese authorities separately called for any extended ceasefire agreement between Hezbollah and Tel Aviv to cover all Lebanese territory.