Oil prices dropped even more on Wednesday as investors considered the impact of the U.S. naval blockade on Iran.
Reuters reported the blockade stands to further increase shipping disruptions in the Strait of Hormuz, especially if Tehran retaliates against the move with military force. The strait is a key point of focus in the Iran war, with Tehran having effectively shuttered the channel in response to U.S.-Israeli hostilities in late-February.
Brent crude finished at $94.77 a barrel with only a 12 cent gain amounting to 0.13%.
West Texas Intermediate crude, the US price set at the Cushing hub in Oklahoma, dropped to $90.86 a barrel on the New York Mercantile Exchange. WTI fell 8 cents or 0.09%.
Oil prices experienced steep losses this week, falling from the $100 a barrel level due to optimism that the peace talks combined with the pressure on Iran due to the naval blockade might result in some peace.
U.S. Central Command said in a social media post that a blockade of Iranian ports had been “fully implemented,” and that U.S. forces have “completely halted economic trade going into and out of Iran by sea.”
Natural gas prices finished with a slight gain, settling at $2.609 MMBtu with an increase of $0.009 or 0.35%.
A majority of Oklahoma energy stocks made it to positive territory at the end of Wednesday’s trading. The largest was an 8% gain for USA Rare Earth. A few ended the day with about 2% increases but otherwise, most were in the 1% range or less.