Archive · 12 Aug 2026
Brent holds near $90 as Gulf incidents offset peace signals
Oil is the stuff we use to make fuel for cars and planes.
When something worrying happens in the world, oil gets more expensive.
Lately, there have been problems with ships in the Persian Gulf, an area far away.
Some countries are having a disagreement, and warships have been stopping other ships from moving.
One helicopter even fired missiles at a cargo ship.
Because of this, a barrel of oil costs almost 90 dollars.
Some leaders are trying to make peace, which made prices dip a little.
But the scary incidents kept prices high.
Experts say the price changes with every news headline.
Oil prices are still more than 40 percent higher than at the start of the year.
Brent crude traded near $89 per barrel and West Texas Intermediate held above $83, after oil gained 11% over four sessions.
Pakistan's defence minister Khwaja Asif told Bloomberg News the US and Iran are close to 'some sort of agreement,' while Al Jazeera reported Iran-Oman talks are at a critical juncture.
A US Navy helicopter fired two Hellfire missiles at a Panama-flagged cargo vessel attempting to breach the blockade of Iranian ports.
The UK Navy reported an incident involving a container ship and military forces in the Gulf of Oman, and a cargo vessel off Yemen's Red Sea coast was hit by an unknown projectile, causing casualties.
The US Energy Information Administration warned war-related disruptions could reach about 600,000 barrels per day through end-2027, and the American Petroleum Institute reported a 9.1 million barrel build in US crude inventories.
- Who
- Oil markets and analysts, Pakistan defence minister Khwaja Asif, US and UK naval forces, and officials from Iran, Oman and Qatar.
- What
- Brent crude held near $89 per barrel as fresh Gulf incidents kept prices elevated despite peace signals from Pakistan.
- When
- Wednesday, August 12, during early-Asia trading.
- Where
- The Persian Gulf, the Gulf of Oman, and Yemen's Red Sea coast.
- Why
- Persistent Gulf security incidents outweighed signs that the US and Iran may be nearing an agreement.
Peace Signal Optimism
Persistent Gulf Tension
Oil price outlook
Peace Signal Optimism
Pakistan's defence minister says the US and Iran are close to 'some sort of agreement,' and Iran-Oman talks are at a critical juncture, which could ease prices if de-escalation follows.
Persistent Gulf Tension
A US Navy helicopter fired Hellfire missiles at a blockade-running vessel, and incidents were reported in the Gulf of Oman and off Yemen's Red Sea coast, keeping the market 'very headline driven' with Brent near $89.
Supply disruption risk
Peace Signal Optimism
The American Petroleum Institute reported a 9.1 million barrel build in US crude inventories, which could signal ample supply and ease price pressure.
Persistent Gulf Tension
The US Energy Information Administration warns war-related disruptions could reach about 600,000 barrels per day through 2027, and oil prices remain up over 40% for the year.
- Brent crude price
- Near $89 per barrel
- West Texas Intermediate price
- Above $83 per barrel
- Four-day gain
- 11%
- Year-to-date gain
- Over 40%
- Late-April Brent peak
- Around $125 per barrel
- EIA disruption estimate
- Up to 600,000 barrels per day through end-2027
- US crude inventories (API)
- Expanded by 9.1 million barrels last week
- Reports due Wednesday
- IEA and OPEC monthly reports