Oil Climbs From Six-Week Low as Iran Peace Deal Doubts Persist

Oil prices advanced from a six-week low on May 31, 2026, as uncertainty clouded progress in US-Iran negotiations to end the war and reopen the Strait of Hormuz. Brent crude rose toward $93 a barrel, while West Texas Intermediate traded near $89, after both benchmarks closed at their lowest since mid-April on Friday. The US and Iran exchanged proposed amendments over the weekend to a draft ceasefire agreement without a clear breakthrough. President Trump stated on May 29 he expected to announce a 60-day truce extension, but the semi-official Tasnim news agency said Sunday both sides might still reject the changes, risking a collapse of the deal. Analysts said oil prices remain elevated, up more than 25% since the conflict began in late February. “The market isn’t pricing peace yet, it’s just pricing a lower probability of the worst case scenario,” said Haris Khurshid, CIO at Karobaar Capital. Chevron CEO Mike Wirth flagged “very real” risks to tankers, with recent vessel attacks near the strait underscoring ongoing supply threats. Israel’s widening incursion into Lebanon also heightened regional tensions.