Oil prices settled higher on July 17, 2026, as renewed hostilities between the United States and Iran raised concerns about potential disruptions to global oil supplies. The threat of a closure of the Red Sea, a key shipping route for crude oil, further fueled the price increase.
Brent crude futures rose by $1.20, or 1.5%, to settle at $82.45 per barrel, while U.S. West Texas Intermediate crude gained $1.15, or 1.5%, to close at $78.60 per barrel. The gains were driven by fears that escalating tensions could lead to supply disruptions in the Middle East.
The Red Sea is a critical chokepoint for oil tankers, and any closure would significantly impact global oil flows. Analysts noted that the market is closely watching diplomatic efforts to de-escalate the situation, but the immediate outlook remains uncertain.
