Oil Prices Volatile Amid Hormuz Shipping Attacks and US Sanction Waivers

Key Facts

1Rabobank reported that oil prices surged following reports of attacks on shipping in the Strait of Hormuz.

2Prices eased after President Trump waived Graham Act sanctions and tariffs on Russian energy.

Oil prices experienced sharp volatility following reports of attacks on shipping vessels in the Strait of Hormuz, according to Rabobank. FXStreet reported that these geopolitical tensions initially drove prices higher as a risk premium was factored into the market due to threats in the strategic waterway.

Prices later eased from their peaks after President Donald Trump waived Graham Act sanctions and tariffs on Russian energy. This policy decision provided significant supply-side relief, effectively neutralizing the upward pressure caused by the maritime escalations in the Middle East.

The API Crude Oil Stock Change report is scheduled for release on October 20, 2026, followed by the EIA Weekly Petroleum Report on October 21, 2026, which will provide further clarity on global supply dynamics.