Oil tankers and cargo ships anchor at Sultan Qaboos port on June 21, 2026 in Muscat, Oman.
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Oil prices rose on Friday as investors weigh escalating tensions between the United States and Iran after Tehran vowed to strike regional infrastructure if President Donald Trump follows through on threats to strike key facilities in the country.
US West Texas Intermediate crude futures for August delivery rose 1.32% to $80.09 a barrel. September futures for the international Brent crude rose in price by 1.33% to $85.35 per barrel.
In an interview with Fox News on Tuesday, Trump said US troops would strike Iran’s infrastructure next week unless both sides reach a diplomatic breakthrough.
Responding in a statement posted on Telegram on Thursday, a spokesman for Iran’s top military command warned that if Trump’s threats were carried out, “everything that remains intact… that is, all infrastructure in the region will be destroyed.”
Jorge Leon, senior vice president at Rystad Energy, wrote in a note Friday that a limited agreement between Washington and Tehran remains the company’s base case, although confidence in that outcome has weakened.
He added that both sides still have strong economic incentives to avoid a complete breakdown of negotiations, with the US seeking lower oil prices ahead of the November midterm elections and Iran unwilling to give up economic incentives.
“Tehran has a significant economic package on the table, including access to frozen assets and export incentives, which it does not want to give up forever,” Leon said.
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