Oil rebounds after Brent briefly falls below $90

Oil prices rebounded on Wednesday after Brent crude briefly fell below $90 a barrel the previous day, as traders weighed President Donald Trump’s signal of restraint toward Iran against continued shipping risks in the Strait of Hormuz and signs of rising supply.

Brent futures rose about 1.4% to $92.74 a barrel on Wednesday, while West Texas Intermediate gained about 1% to trade near $87. The Tuesday dip below $90 was the first since August. Brent had fallen sharply over the preceding sessions after Trump said further strikes on Iran were not needed for now, easing some concern about prolonged disruption to oil supplies.

Trump said he would hold off on further strikes for the time being and maintain a U.S. naval blockade. His remarks indicated a pause, not a permanent end to military operations. The accounts of the price decline also cited other factors, including continued oil flows from the region and production growth, so the market move cannot be attributed to his comments alone.

Shipping risks persisted. The United Kingdom Maritime Trade Operations Centre said it received a report of a tanker incident in the Strait of Hormuz on Wednesday. At the time of the report, the crew’s...