WTI Crude Rallies on Iranian Naval Maneuvers and US Shipping Advisories

Geopolitical War Premium

The potential for tanker seizures is currently outweighing the bearish 2026 surplus narrative. Traders are hedging against a physical disruption to the 20 million barrels per day that transit the Persian Gulf chokepoint.

Refinery Demand Pull

US Gulf Coast refineries are maintaining high run rates to capitalize on strong gasoline crack spreads, creating a steady domestic bid for crude that is preventing a slide despite the broader dollar strength.