Oil Climbs Toward $97 as US Strikes Iran's Qeshm Island
Rendy Andriyanto
Gotrade Team
Reviewed by Gotrade Internal Analyst
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Gotrade News - Brent crude futures climbed toward $97 per barrel on June 3, 2026, marking a third consecutive session of gains. The rally followed US strikes on Iran's Qeshm Island and renewed missile exchanges across the Gulf.
According to Bloomberg, ongoing uncertainty around US-Iran negotiations continues to support a geopolitical risk premium. Energy producers and defense contractors led equity gains as investors repositioned for prolonged Middle East instability.
Key Takeaways
Brent crude climbed toward $97 per barrel for a third straight session of gains.
US forces struck Qeshm Island after Iran launched ballistic missiles toward neighboring countries.
Analysts expect oil to trade between $90 and $100 until a lasting peace deal emerges.
As reported by Axios, US forces carried out strikes on Qeshm Island in retaliation for attempted attacks attributed to Tehran. President Donald Trump insisted that negotiations with Iran remain active despite the latest military escalation.
Iran responded by launching ballistic missiles toward neighboring countries, raising fresh concerns about supply routes through the Strait of Hormuz. Major integrated producers such as Exxon Mobil (XOM) and Chevron (CVX) stand to benefit from sustained crude strength.
The June 3 price level still represents a meaningful pullback from the conflict's earlier peak. Per Axios, Brent jumped from around $72 a barrel on February 27 to nearly $120 at its peak.
That earlier surge reflected acute fears about supply disruption through the Strait of Hormuz, which handles roughly a fifth of global seaborne oil flows. Defense names including Lockheed Martin (LMT) have also drawn investor attention as Pentagon deployments intensify.
Negotiators on both sides have reportedly agreed in principle to a 60-day memorandum of understanding that would pause hostilities. However, ongoing missile activity in the Gulf has prevented either party from formally signing the framework.
According to Axios, oil prices will likely remain between $90 and $100 for at least the next couple of months. That range assumes no full closure of the Strait of Hormuz and no formal breakdown in diplomatic channels.
Traders are watching three near-term catalysts that could break the range in either direction. Any signed memorandum would likely send crude back toward the mid-$80s, while a tanker incident in the Strait could push prices back above $110.
Equity markets have so far absorbed the shock relatively well, with the FTSE 100 trading steady as energy gains offset weakness in consumer names. Sector rotation into energy and defense has been the dominant theme since the strikes on Qeshm Island were confirmed.
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