Oil Prices Little Changed Near Four-year High

(RTTNews) - Oil prices were subdued on Tuesday after reports emerged that the Trump administration is willing to end the U.S. military campaign against Iran even if the strategically vital Strait of Hormuz remains largely closed.

Instead, the administration plans to achieve core objectives - crippling Iran's navy and missile capabilities and resuming normal operations in the strait, according to a Wall Street Journal report.

Brent crude prices for May delivery were marginally lower at $112.63 a barrel after climbing to their highest since July 2022 on Monday. WTI crude futures dropped 0.6 percent to $102.26.

Brent crude prices remain on track for a record monthly surge of almost 60 percent as disruptions in oil production deepened due to the prolonged war in the Middle East.

U.S. President Donald Trump claimed great progress in peace talks with Iran but renewed his threat to "blow up" Iran's power plants, oil wells, Kharg Island and "possibly all desalinization plants" if a peace agreement is not reached "shortly" and the Strait of Hormuz is not "immediately" reopened.

Treasury Secretary Scott Bessent said in an interview with Fox News that the U.S. would eventually regain control of the Strait of Hormuz and ensure freedom of navigation either through U.S. escorts or a multinational escort force.

Iran said that it had received U.S. peace proposals via intermediaries and the proposals were "unrealistic, illogical and excessive". The Iranian parliament has approved a draft bill to introduce a toll system for the Strait of Hormuz.

Fighting in the Middle East continues, with U.S. forces targeting a major ammunition depot in Isfahan, Iran, intensifying regional tensions and fears of impending retaliation.

Iran struck a Kuwaiti oil tanker near a Dubai port, highlighting heightened risks for shipping in the Persian Gulf.

Israeli forces carried out missile strikes on what they called military infrastructure in Tehran and infrastructure used by Iran-backed Hezbollah in Beirut.