Oil held a three-day gain after President Donald Trump made sweeping new demands on Iran, clouding the outlook for a deal to reopen the crucial Strait of Hormuz. The remarks, reported on Aug. 11, injected fresh uncertainty into global supply expectations, as traders weighed the risk of prolonged disruptions. Benchmark crude prices rose by more than 2% during the session, extending a rally that began earlier in the week.

The U.S. president's aggressive stance complicates diplomatic efforts to ease tensions in the region, where nearly a fifth of the world's oil passes through the Strait. Analysts noted that without a clear path to negotiations, the threat of further escalation could keep prices elevated in the near term.

Meanwhile, other factors such as OPEC+ production cuts and fluctuating demand from China continue to influence the market. The combination of geopolitical risk and supply constraints has made oil particularly sensitive to policy shifts out of Washington and Tehran.

As of the latest settlement, West Texas Intermediate crude traded near $77 per barrel, while Brent crude hovered around $81. Traders will watch for any further statements from the White House or Iranian officials that could alter the supply outlook.