Oil Prices Hover Near Three-week High As Hormuz Risks Mount

(RTTNews) - Oil prices traded higher for a fourth straight session on Wednesday to hit a three-week high after reports suggested that most shipowners are avoiding the Strait of Hormuz because of a lack of clear signals on its reopening.

According to Kpler data, six commodity vessels crossed the strait Tuesday, down from nine on Monday and below the 10-day average of 11 vessels.

Brent crude futures jumped more than 1 percent to $91.95 a barrel after a bulk carrier was struck by an unknown projectile while transiting the Strait of Hormuz, raising the prospect of ongoing disruptions to supply.

WTI crude futures were up 1.20 percent at $85.07 after the American Petroleum Institute estimated that U.S. crude oil inventories fell by 328000 barrels in the week ending August 14, marking their first decline in five weeks.

U.S. President Donald Trump said there are currently no U.S.-Iran talks taking place or scheduled and that the U.S. naval blockade remains in force.

Trump also insisted the Strait of Hormuz was open and operating and that mines had been removed or detonated.

On the contrary, Iran maintained that the strategic waterway will not be opened until the United States meets its demands, highlighting the deep disconnect between the countries.

Amid heightened regional tensions, Iran's Chief of Staff Maj. Gen. Ali Abdollahi today warned Gulf states that any assistance or facilitation provided to the aggressor U.S. military will be considered participation alongside U.S. forces.

The United Arab Emirates suspended all trade and commercial ties with Iran until further notice after accusing Iran of firing two ballistic missiles towards the Gulf State.

In Lebanon, an Israeli strike on a health center has killed 12 medical workers in the southern part of the city.