DTN Oil Update
Oil Futures Rise Amid Peace Deal Uncertainty
HOUSTON (DTN) -- Oil futures climbed on Friday amid the uncertainty surrounding a peace deal between the United States and Iran after the U.S. forces reinstated strikes on tankers blocking the Strait of Hormuz.
ICE Brent for July delivery rose $1.01 to $101.57 bbl, and NYMEX WTI for June delivery increased $0.56 to $95.37 bbl.
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NYMEX ULSD futures for June delivery advanced $0.0905 to $3.9071 gallon, and front-month NYMEX RBOB futures climbed $0.0757 to $3.5317 gallon.
The U.S. Dollar Index edged down by 0.199 points to 97.745 against a basket of foreign currencies.
According to media reports, the U.S. military fired two Iran-flagged oil tankers that allegedly violated the U.S. blockade in the Strait of Hormuz.
Trump said shortly after the clash that the ceasefire remained in place, calling the U.S. strikes a "love tap." Tehran, meanwhile, said it considered the U.S. "aggression" a breach of the ceasefire.
Trump's comments helped cool the brief price rally sparked by the fresh outbreak of fighting, and oil and product futures were still on track for a steep weekly decline, the first in three weeks.
Upward pressure on oil futures is expected to continue as declining oil and refined products stockpiles have been reported amid increasing U.S. oil export activity.
The U.S. Energy Information Administration earlier this week reported that domestic distillate fuel oil stocks had slumped to a 20-year seasonal low.
