International oil prices rose following the outcome of negotiations on shipping through the Strait of Hormuz between Iran and Oman. Iran is demanding a 5-7% surcharge on the value of cargo passing through the strait, while Oman proposed a 3% surcharge. However, the United States opposes any form of cost imposition. The market is watching whether an agreement between Iran and Oman will allow US-flagged vessels to pass through the Strait of Hormuz. Concerns are also growing about the formation of a 'second front' in the Middle East as armed clashes between Saudi Arabia and Yemen's Houthi rebels escalate.
