Oil Prices Rise for a Fourth Straight Session as US-Iran Hormuz Standoff Drags On

Oil Prices Rise for a Fourth Straight Session as US-Iran Hormuz Standoff Drags On

Published August 19, 2026 · Finance-Solutes.com Research Desk

Oil prices extended their winning streak to a fourth straight session on Wednesday. The standoff between the United States and Iran over the Strait of Hormuz showed no sign of easing. West Texas Intermediate (WTI) crude traded near $85 a barrel. Brent crude held above $91, according to Bloomberg market data. Both benchmarks have now climbed for four consecutive sessions, with no resolution to the six-month conflict in sight.

President Donald Trump said Tuesday that no talks with Tehran were underway or scheduled. That claim pushed prices higher, as traders priced in a longer disruption to Middle East oil flows. The remarks came just two days after a 60-day US-Iran negotiating window quietly expired. No lasting deal on the strait was reached.

Investor takeaway: There’s no diplomatic breakthrough in sight, and US crude reserves sit at multi-decade lows. Energy prices look likely to stay elevated near-term. Investors with exposure to transport or airline stocks should watch this story closely. Energy producers, meanwhile, may continue to benefit.

What’s Driving Oil Higher This Week?

The rally traces back to conflicting claims over who controls the Strait of Hormuz. The narrow waterway once carried roughly a fifth of the world’s oil supply. Before the conflict began in February, an average of about 130 ships crossed the strait each day. Shipping data now shows only a small fraction of that traffic moving through the waterway.

Trump Says No Talks Are Scheduled With Iran

Trump wrote on social media Tuesday that there were “no talks or conversations going on, or scheduled” with Iran. He also claimed the Hormuz Strait was open. He added that the US naval blockade of Iranian ports remained in force. His comments followed weeks of mixed signals from Washington about a possible new agreement.

Iran Rejects US Claims That Hormuz Is Open

Iranian officials have firmly disputed that account. Tehran maintains the strait will stay closed until the US meets its conditions. Those terms were set out in a temporary agreement signed in June. Iran’s foreign ministry says the US naval blockade must end first, before normal shipping can resume.

A Truce That Has Already Expired

The 60-day memorandum of understanding between Washington and Tehran technically expired on August 17. It was meant to give both sides time to negotiate a longer-term resolution. That included terms for reopening Hormuz to commercial traffic. Neither side has signaled a plan to extend it. Markets are now pricing in continued disruption through at least the end of the month.

US Inventory Data Adds to the Bullish Case

Adding further support to oil prices, data from the American Petroleum Institute (API) told a supportive story. US crude inventories fell slightly in the week ending August 14. That reversed a large build the week before. The more closely watched Energy Information Administration (EIA) report, due later Wednesday, is expected to confirm a similar trend.

Tighter commercial stockpiles come as the US Strategic Petroleum Reserve has fallen sharply too. It now sits at its lowest level in more than 40 years. That decline reflects repeated draws used to offset supply disruption from the Iran conflict. A shrinking reserve limits the government’s ability to cushion any future price spike.

Why This Matters for Your Portfolio

• Energy costs stay in focus. Sustained higher oil prices tend to squeeze margins for airlines, shippers, and consumer-facing businesses reliant on fuel.
• Energy producers may keep benefiting. Sustained elevated prices have already lifted profits at major oil companies this year.
• Inflation risk lingers. Persistently higher energy costs can complicate the path toward interest rate cuts.
• Reduced policy buffer. A historically low Strategic Petroleum Reserve means less room for the US to intervene if prices spike further.

Disclaimer: This article is for informational and educational purposes only and does not constitute financial or investment advice. Oil and geopolitical conditions can shift quickly, so always check live pricing before making any investment decision. For personalized guidance, Finance-Solutes.com’s free courses and expert advisors can help you build the right strategy.

Source: Investing.com Vietnam, with figures cross-checked against Bloomberg, CNBC, Fox News, and OilPrice.com reporting.

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