US Iran armistice: impact on oil and gas prices — NRG-IA

Hormuz Transit and Supply Security — What Was Negotiated Brent crude prices remain below the critical threshold of $100 per barrel as Washington and Tehran finalize the details of an informal armistice extension. The negotiations, conducted through third-party diplomatic channels, come at a time of high tension in global energy markets, following weeks of extreme volatility caused by the direct conflict in the Middle East. Maintaining this agreement is considered vital to prevent a new inflationary spiral ahead of Europe's gas storage filling season. Diplomatic sources indicate that both sides wish to avoid a resumption of open hostilities, which would once again block vital shipping lanes. The primary stake is ensuring the free movement of oil tankers and LNG carriers through the Strait of Hormuz, a critical chokepoint through which approximately 20% of global oil consumption passes daily. Any disruption in this area risks decoupling global supply and causing a sharp increase in…