EMEA Oil Update: Crude Futures Hit 2-Week Peak After US Revokes Iran Oil Waivers Following Attacks

Oil prices extended gains on Wednesday to hit its highest in nearly two-weeks after drone attacks on tankers in the Strait of Hormuz prompted US retaliatory strikes and an immediate revocation of waivers authorizing Iranian crude sales. Front-month Murban crude futures advanced more than 4% to $71.78 per barrel, while Brent futures climbed 3.2% to $76.55/bbl. "The renewed attacks have raised the prospect of a complete collapse of the interim peace deal and a subsequent stalling of the recovery in oil supplies from the Persian Gulf," ANZ analysts said. The UK Maritime Trade Operations confirmed that two separate commercial tankers transiting the vital choke point sustained minor structural damage after being struck by uncrewed aerial vehicles. In immediate response, the US Central Command launched retaliatory military strikes against regional targets. Simultaneously, the US Treasury Department's Office of Foreign Assets Control revoked the sanctions waiver that had previously authorized the sale of Iranian-origin oil. Under the newly issued directive, all fresh transactions for Iranian oil are prohibited. Parties who entered contracts under the prior framework have been.