Iran on Tuesday partially closed the Strait of Hormuz, a crucial chokepoint in global oil flows, as Tehran held another round of nuclear talks with the US in Geneva.
The closure, the result of military drills Tehran conducted in the waterway, marked the first shutdown since US President Donald Trump threatened to strike Iran in January.
The countries made progress in Tuesday’s negotiations — pushing oil prices down — though they resulted in no breakthroughs.
Brent crude, which fell substantially in 2025, is up nearly 13% this year because of the tensions and the prospect of war.
Still, a complete closure of the Strait of Hormuz, the “mother of all disruptions,” remains a low-probability scenario, OilPrice.com wrote.