WTI Oil holds gains above $102.00 with the US-Iran ceasefire on edge

• WTI Oil pulled back from nearly three -week highs but remains above $102.00.
• Uncertainty about the US-Iran ceasefire and the blockade of Hormuz are supporting Crude prices.
• The EIA Crude Oil Stock Change report might increase Oil price volatility.

Crude Oil prices ease from recent highs on Wednesday but remain above the key $100 level, with the US benchmark West Texas Intermediate (WTI) consolidating gains above $102.00 at the time of writing, as tensions between the US and Iran grow.

US President Donald Trump affirmed on Tuesday that the US might launch an attack on Iran in the next two or three days if Tehran does not sign a peace deal, and Vice President JD Vance said that the US remains “locked and loaded” to restart the military campaign in Iran. Iranian Foreign Minister Abbas Araghchi, in turn, has warned of “surprises” if the US restarts military actions.

Meanwhile, the blockade of the Strait of Hormuz nears its third month, with no plan to reopen it any time soon. This is strangling the global supply of Oil and other commodities such as gas or fertilizers.

On Tuesday, a report by the Association of Petroleum Industries revealed a net decline of 9.1 million barrels in US Oil stocks in the week of May 15, beating expectations of a 3,4 million drawdown, and following a 2.18 million decline in the previous week. These figures provided additional support for Oil prices ahead of the release of the US Energy Information Administration’s (EIA) Crude Oil Stocks Change report, which is due later on Wednesday.