Oil prices could spike as U.S. action on Iran nears: Rapidan Energy

Oil prices rose above $100 a barrel ahead of the US midterm elections as investors weighed the risk of renewed US strikes on Iran. Analysts say the unresolved dispute over Iran’s nuclear programme could keep tensions high, although some see the election period as an opportunity for diplomacy.

A proposal reportedly sent by Iran through Qatar offers free passage for ships through the Strait of Hormuz in return for the US meeting seven Iranian demands, including ending its naval blockade and releasing Iranian assets. Washington is reviewing the proposal, according to an Iranian official cited by Reuters; analysts also say any renewed US campaign could be limited by pressure on munitions supplies.