Oil up over 7% to above $100 ahead of US blockade on Iran

Oil prices climbed above $100 a barrel on Monday as the US Navy prepared to block ships to and fromIran via the Strait of Hormuz, a move that could restrict Iranian oil exports, after Washington and Tehran failed to reach a deal to end the war. Brent crude futures rose $6.96, or 7.3%, to $102.16 a barrel by 0430 GMT after settling 0.75% lower on Friday. US West Texas Intermediate was up $8.12, or 8.4%, at $104.69 a barrel following a 1.33% loss in the previous session. “The market is now largely back to conditions before the ceasefire, except now the US will block the remaining up to 2 million barrels per day Iranian-linked flows through the Strait of Hormuz as well,” said Saul Kavonic, head of energy research at MST Marquee. President Donald Trump said on Sunday the US Navy would start blockading the Strait of Hormuz, raising the stakes after marathon talks with Iran failed to reach a deal to end the war, jeopardising a fragile two-week ceasefire.