# Oil prices rising after fresh round of strikes threaten US-Iran ceasefire deal

By Susannah Streeter — 2026-07-08

Susannah Streeter, chief investment strategist at Wealth Club, said: “Oil prices have surged even higher after President Trump declared the ceasefire with Iran was over.

“The reignition of the Middle East tinderbox is sparking fresh worries about persistent inflation and downbeat sentiment is spreading.

“The FTSE 100 has sunk deeper into the red, as nervousness ratchets up about the impact of this fresh schism in relations.

“Iran has retaliated, striking US bases, after American forces attacked dozens of targets in Iran after three tankers were hit with missiles in the Strait of Hormuz.

“There’s a real sense of deja vu unfolding, with the US and Iran appearing to take significant steps towards peace, only for the illusion to be shattered once again.

“However, even though Brent has surged by more than six per cent to trade at around $78 a barrel, reflecting this unwelcome turn of events, it’s still not yet near the levels seen during previous periods of conflict.

“There does seem to be some expectation that tensions will eventually calm again, while the ramp-up in oil production is helping to keep a lid on concerns about a fresh energy crunch.

“Nevertheless, it’s a major setback just as nations around the world had been breathing a sigh of relief that a longer-term resolution looked to be within reach.

“It’s in this tense environment that investors are waiting for the minutes of the last Fed meeting to be released.

“Expectations of rate cuts had been reined in a little after the weaker-than-expected jobs report last week, but now that the cards are being thrown up in the air again in the Middle East, there’s likely to be even closer scrutiny of more hawkish attitudes around the table.

“The minutes are likely to show that policymakers will remain driven by the data, rather than personal convictions or external pressures.

“However, with energy prices at risk of ramping higher, they’re also expected to reinforce the message that any fresh inflationary shock could delay the path towards lower interest rates, keeping the Fed firmly in wait-and-see mode.”

Canonical: https://experts.pressassociation.com/expert/43/views/ed2899052b651465