Traders buy oil options to hedge against US-Iran de-escalation risk

8 articles · Updated · Bloomberg · Apr 28

Banks like Citigroup and Morgan Stanley have raised oil price forecasts, while Goldman Sachs estimates April output cuts of 14.5 million barrels daily.
Despite forecasts for oil above $100 and shrinking stockpiles, traders are preparing for a potential price drop if US-Iran tensions ease and the Strait of Hormuz reopens.
The shift in options activity reflects uncertainty over Middle East stability, with failed peace talks prolonging supply disruptions and influencing market strategies.

Why does Wall Street predict $60 oil long-term while physical crude trades near $150 today?

Are traders betting on peace a sign the US-Iran conflict is about to de-escalate abruptly?

With the UAE exiting, is OPEC's ability to control global oil prices permanently broken?

Iran's oil storage is nearly full. Will this force a resolution to the Hormuz crisis within days?

How is the Hormuz closure affecting global food and tech supply chains more than oil itself?

Beyond the blockade, could sea mines keep the Strait of Hormuz closed for the rest of 2026?