Crude prices spike on reports of Iran–US communication freeze

Global oil prices extended their gains on June 1, rising by as much as 5% following reports that Iran has suspended exchanges of messages with the United States.

Market data showed that August futures for Brent crude increased by 5% from the previous closing level to reach $95.68 per barrel. Meanwhile, July futures for US West Texas Intermediate (WTI) crude rose 5.36% to $92.07 per barrel, Caliber.Az reports, citing foreign media.

The sharp rise in oil prices came after Iran’s Tasnim News Agency reported that Tehran had decided to suspend communications with Washington in protest against Israel’s actions in Lebanon.

The development fueled concerns in global energy markets about escalating tensions in the Middle East, a region that remains critical to global oil production and supply.

Market participants closely monitored the reports, with the prospect of heightened geopolitical uncertainty contributing to renewed upward pressure on crude prices.

By Vafa Guliyeva