[International Oil Prices] Brent Crude Tops $108 Amid Indefinite Strait Blockade, First Time in More Than a Month

[The Financial News]  \r\n
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International oil prices climbed above $108 per barrel on the 27th local time.
They broke through the $108 level for the first time in more than a month, after closing at $108.65 on the 19th of last month.
Concerns over disruptions to oil supplies deepened after the Pakistan talks the U.S. had pushed for on the 25th fell through because Iran refused to participate.
Iran proposed that the two sides first agree to end the war and reopen the Strait of Hormuz before holding nuclear talks, but the U.S. rejected the idea.
In an interview with Fox News, United States Secretary of State Marco Rubio dismissed the proposal for "peace talks first, nuclear talks later," saying any ceasefire agreement must include a halt to nuclear weapons development.
However, White House Press Secretary Karoline Leavitt said Donald John Trump discussed Iran's proposal with his Office of National Security team on Wednesday morning and would soon make a direct announcement on the matter.
Oil prices jumped more than 2% amid worries that supply constraints would continue.
According to CNBC, Brent Crude Oil for June delivery, the global benchmark, closed at $108.23 per barrel, up $2.90, or 2.75%, from the previous session. It also surged as high as $109.79 during the session.
West Texas Intermediate crude oil (WTI), the U.S. benchmark, ended trading at $96.37 per barrel, up $1.97, or 2.09%.
Wall Street investment banks are raising their oil price forecasts.
In a note on the 26th, Goldman Sachs projected that Brent Crude Oil would average $90 per barrel in the fourth quarter of this year. It had previously forecast $80 per barrel.
Citigroup warned that Brent Crude Oil could soar to as much as $150 per barrel if disruptions to oil shipments through the Strait of Hormuz are not normalized by the end of June.
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dympna@fnnews.com Song Kyung-jae Reporter