Iran Hormuz bill lifts oil prices

On August 6, 2026, Iran's semi-official Fars news agency reported, citing a lawmaker, that an Iranian parliamentary committee is reviewing a preliminary bill that would bar U.S., Israeli, and other 'hostile' vessels from transiting the Strait of Hormuz. The draft bill would impose fines of up to 20% of a ship's cargo value for violations. This news triggered a sharp rise in oil prices: Brent Crude rose 4.12% to $82.72 per barrel, and U.S. West Texas Intermediate rose 3.39% to $77.78. Major U.S. stock indexes eased ahead of Friday's jobs report, with the Dow Jones Industrial Average falling 0.69%, the S&P 500 down 0.20%, and the Nasdaq Composite down 0.03%. Treasury yields rose, and the U.S. dollar strengthened against the yen. The event follows earlier optimism about a deal to reopen the strait, but the new bill raises concerns about supply disruptions and inflation. Investors are also awaiting the U.S. Labor Department's July employment report, with expectations of a possible United States — Federal Reserve rate hike next month.