Oil markets showed little movement on Wednesday as traders struggled to reconcile conflicting signals from the U.S.-Iran standoff, according to Ship & Bunker. The publication reports that investors appeared to accept an ongoing pattern of hostility, mixed messaging, and temporary pauses between Washington and Tehran, rather than a genuine path toward de-escalation.
According to Ship & Bunker, Iran’s latest position is that it will continue developing nuclear weapons as long as the United States and Israel retain their own arsenals. The report notes that IRGC commander-in-chief Ahmad Vahidi stated, “As long as the United States and Israel possess nuclear weapons, we will continue working on them for our national security… If they disarm, we will disarm.” Israel responded by vowing to prevent Iran from achieving its nuclear ambitions, Ship & Bunker reports.
President Donald Trump, addressing a potential resumption of strikes against Iran, told media, “If they back out again, they’re going to get hit really hard… They know that, they understand that, they can’t have a nuclear weapon-it’s very simple,” as reported by Ship & Bunker.
Hormuz Agreement Details Remain Unsettled
Despite reports of a draft agreement on Strait of Hormuz shipping routes, the market response was muted. Ship & Bunker reports that two regional officials told the Associated Press a draft deal between Iranian and Omani negotiators had been finalized, under which vessels entering the Persian Gulf would transit Iranian-controlled waters while departing vessels would use an Oman-administered route.
According to the report, Iran had sought payments equal to 5 to 7 percent of cargo value, while Oman proposed a 3 percent charge. Ship & Bunker notes that Washington has rejected any arrangement requiring ships to pay Iran for passage through what is considered an open international waterway.
Phil Flynn, senior market analyst at Price Futures Group Inc., was quoted by Ship & Bunker as saying, “This agreement seems as tenuous as past agreements, and as we know, none of those have held up for very long.” Analysts at IG, cited in the report, added that the central dispute is “whether Iran will continue to insist on a degree of control over the waterway, and whether the U.S. will stand its ground and refuse that outcome.”
Price Movements and Inventory Data
Brent crude futures settled up 9 cents at $79.45 per barrel, while West Texas Intermediate fell 55 cents to $75.22 per barrel, Ship & Bunker reports. This came after Trump described an “all-day negotiation” with Iran, a claim Iran denied.
Separately, Ship & Bunker reports that the U.S. Energy Information Administration disclosed crude stockpiles rose by 2.5 million barrels to 407 million barrels last week, contrary to expectations of a 1.5 million barrel draw, despite ongoing concerns about supply tightness linked to the conflict.
Does this matter to you?
Continued uncertainty over Strait of Hormuz transit arrangements, as detailed in the Ship & Bunker report, carries direct relevance for vessel routing and voyage planning through the Persian Gulf. The unresolved dispute over payment structures and control of shipping lanes, combined with the risk of renewed U.S.-Iran military action, points to a fluid and potentially volatile operating environment in the region. Bunker pricing and crude markets, as reflected in the reported Brent and WTI movements, remain sensitive to these developments, though the source material does not indicate a clear directional trend beyond the current tepid trading pattern.
Gulf Bunkering does not provide operational or security guidance. This article is for informational purposes only. Operators should consult flag state authorities, P&I clubs, and relevant advisories for decisions relating to transit planning.
Sources: Ship & Bunker
