Welcome back to the City AM liveblog. Oil prices are holding steady above $73 per barrel after days of heightened tensions between the US and Iran ahead of peace talks in Qatar. Brent crude – the international benchmark for oil prices – posted its biggest quarterly decline since 2020 for
Samuel Norman
Wednesday 01 July 2026 6:33 am | Updated: Wednesday 01 July 2026 6:37 am
Welcome back to the City AM liveblog.
Oil prices are holding steady above $73 per barrel after days of heightened tensions between the US and Iran ahead of peace talks in Qatar.
Brent crude – the international benchmark for oil prices – posted its biggest quarterly decline since 2020 for the second quarter of the year but recent developments have threatened to send prices creeping higher.
Both Iran and the US have agreed to pause any attacks and renew talks over the Strait of Hormuz, according to the US. It follows the US launching its first strikes on Iran over the weekend since the peace deal was confirmed as Donald Trump renewed threats on the regime.
The US has said both sides will “stand down for now and vessels can move freely” whilst technical talks continue on “all areas” of the memorandum of understanding (MOU).
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A 14-point MOU was agreed between the two nations on 17 June under which the Strait of Hormuz would be reopened for traffic.
But there have been several days of exchanging fire since Iran hit a cargo vessel in the strait on Thursday, with both the US and Iran accusing the other of breaking an interim ceasefire.
Iran’s foreign minister Abbas Araghchi has insisted that Tehran alone must govern the Strait of Hormuz.
He said any alternate arrangement would “only lead to further complications” and “delay the reopening of the Strait of Hormuz, and increase the level of tension”.
We’ll be bringing you the latest market updates and analysis.
Here’s a few of our top headlines this morning Read more As it happened: Stocks jump on defence and metals boost; Oil on track to shed a fifth on US-Iran peace hopes
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