Brent Crude Surges Above $100 as Middle East Tensions Escalate

Brent crude futures have breached USD100 a barrel for the first time since late May after Iran and the US struck tankers in the Strait of Hormuz. The conflict has disrupted energy supplies from the Middle East, causing oil prices to surge.

Futures settled up USD3.29, or 3.4 percent, at USD101.21 a barrel, with US West Texas Intermediate crude up USD3.02, or 3.25 percent, at USD96.05 a barrel.

Ole Hansen, head of commodity strategy at Saxo Bank, said the market is changing its view on how long the Middle East crisis will continue to curb supply from the region.