Oil Prices Hit War-Era High
Oil prices have hit their highest point since the Iran war began. Brent crude rose for an eighth straight day.
It closed at around $118 per barrel. Reports say the price rose above $120 at one point.
President Trump signaled he will keep a naval blockade in place. The blockade is meant to pressure Iran into a nuclear deal.
Trump met with energy leaders including Chevron chief Mike Wirth on Tuesday. He discussed keeping the blockade in place for months if needed.
Reports say that meeting drove Wednesday's price rise. Iran has declined to reopen the Strait of Hormuz unless the United States lifts the blockade.
Peace talks are currently stuck. Sources say Pakistan is expected to receive Iran's revised proposal by Friday. Growing concerns over Middle East energy supplies are pushing prices higher.
Key Terms 4
- Brent crude A major type of oil used as a global price benchmark
- naval blockade When warships stop other ships from entering or leaving an area
- Strait of Hormuz A narrow sea passage where much of the world's oil is shipped through
- nuclear deal An agreement to limit a country's ability to build nuclear weapons