Oil Price Today (April 27): Crude oil hovers near $110 as Iran war peace talks lose momentum. What are experts saying?

Oil prices continued to climb on Monday, gaining nearly 2% after U.S.-Iran peace talks lost momentum and shipments through the Strait of Hormuz remained constrained, keeping concerns over tight global supply in focus.

Expectations of renewed diplomatic progress weakened over the weekend after U.S. President Donald Trump cancelled a planned Islamabad visit by his envoys Steve Witkoff and Jared Kushner. This came even as Iranian Foreign Minister Abbas Araqchi arrived in Pakistan.

Crude oil price on April 27

Brent crude futures rose $2.16, or 2.05%, to $107.49 a barrel by 2346 GMT, touching their highest level since April 7. U.S. West Texas Intermediate crude advanced $1.77, or 1.88%, to $96.17 a barrel.

Last week, Brent posted a nearly 17% rise, while WTI gained close to 13%, marking their biggest weekly advances since the war began.

Iran has continued to demand that vessels seek its approval before transiting the Strait of Hormuz, while Trump said the U.S. has “total control” over the waterway. Meanwhile, the U.S. Navy has maintained a blockade aimed at Iranian ports and vessels.

Goldman Sachs raised its fourth-quarter oil price forecasts to $90 a barrel for Brent crude and $83 for WTI, citing reduced Middle East output.

“The economic risks are larger than our crude base case alone suggests because of the net upside risks to oil prices, unusually high refined product prices, products shortages risks, and the unprecedented scale of the shock,” Reuters reported, citing Goldman Sachs analysts.

According to a Haitong Futures note cited by Reuters, the current ceasefire phase increasingly looks like a build-up to further conflict. It added that if U.S.-Iran talks fail to deliver meaningful progress by the end of April and hostilities resume, oil prices could move to fresh highs for the year.

Macquarie estimates crude prices may stay supported in the $85 to $90 range in the near term, with a gradual rise toward $110 as supply conditions improve. It also warned that prolonged disruptions through April could send Brent as high as $150 per barrel.

Nuvama Institutional Equities said an extended closure of the Strait of Hormuz, which handles around 20 million barrels per day, could push crude prices into the $110 to $150 range.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)