OIL HEADS FOR SECOND WEEKLY GAIN AS U.S. PRESSURES IRAN

Developing story: Crude prices, Hormuz traffic, Iranian responses and Monday’s expected U.S. sanctions details may change the energy outlook quickly.

Oil prices were on track for a second straight weekly gain Friday as the United States threatened a new sanctions campaign against Iran and shipping through the Strait of Hormuz remained well below normal. Reuters reported that Brent crude traded near $94 a barrel, with both major benchmarks heading for weekly advances after touching their highest levels since July 24.

The price action reflects a durable risk premium rather than a single-session shock. The U.S. blockade of Iranian shipping, Tehran’s warnings of retaliation and the continued reluctance of shippers to use Hormuz at normal scale have made energy markets price a longer disruption to Gulf flows.

Reuters reported that Brent has gained more than 6 percent this week, while U.S. crude has risen more than 5 percent. Traders are watching whether sanctions tighten Iranian exports further and whether shipping incidents increase in response to economic pressure.

The Strait of Hormuz remains the core supply concern. Kpler data showed only seven commodity ships sailed through the strait on Thursday, half the previous day’s tally and far below the more than 130 daily crossings before the war. Even if some vessels turn off transponders, visible traffic is low enough to signal a broad commercial retreat from normal operations.

Analysts cited by Reuters said the immediate impact of additional sanctions may be limited because Iranian exports are already heavily constrained. The larger risk is retaliation or more shipping disruption if Tehran decides the new economic campaign threatens its remaining lifelines.

The oil market is also tracking supply from other producers. Saudi Arabia, Iraq, the United Arab Emirates and Kuwait all face some degree of export uncertainty as the Gulf crisis continues. Even when cargoes can be rerouted or loaded from safer hubs, the process adds cost, delay and operational risk.

Higher oil prices feed directly into household and political pressure. In the United States, gasoline costs are already part of the midterm debate. In Europe and Canada, energy-price moves threaten to complicate inflation and rate decisions. A sustained crude rally can therefore become a political problem as well as a market one.

What is confirmed is that oil was headed for a second weekly gain while U.S.-Iran tensions and low Hormuz traffic continued. What remains unresolved is whether new U.S. sanctions create enough pressure to force talks or instead trigger retaliation that pushes oil prices higher still.

Fact-check date: August 21, 2026. Article type: News. Sources: Reuters; Kpler. Developing note: Crude prices, Hormuz traffic, Iranian responses and Monday’s expected U.S. sanctions details may change the energy outlook quickly.