Texas oil rises 4.7% after Trump offered insurance to shipping companies in the Strait of Hormuz
West Texas Intermediate (WTI) crude oil rose 4.7% to $74.56 a barrel after U.S. President Donald Trump offered political risk insurance to shipping companies to cross the Strait of Hormuz, threatened by Iran's Revolutionary Guard. At the close of trading, WTI futures contracts for April delivery added $3.33 compared to Monday's close, easing the 8.69% rise with which crude began the day, driven by the war in Iran. EFE
TL;DR
- WTI crude oil price increased by 4.7% to $74.56 per barrel.
- The rise was influenced by U.S. President Donald Trump's offer of political risk insurance.
- The insurance was aimed at shipping companies crossing the Strait of Hormuz.
- The Strait of Hormuz is under threat from Iran's Revolutionary Guard.
- WTI futures for April delivery gained $3.33, easing the day's initial 8.69% surge.