Brent Crude Surges Past $101 as US-Iran Tensions Escalate
The global oil market has seen a significant surge in prices due to escalating tensions between the US and Iran. The international benchmark Brent crude breached $101 a barrel, while US West Texas Intermediate (WTI) jumped to touch $97.79.
Tehran claimed its forces attacked 10 vessels near the Strait of Hormuz in retaliation for the US military sinking five Iranian oil tankers. This move has further increased tensions and raised concerns about a potential disruption in global oil supplies.
The blockade on the Strait of Hormuz, which handles a significant chunk of global energy shipments, has already seen a quarter of its pre-conflict volumes plummet to nearly zero. Market analysts warn that any prolonged operational freeze will hit major Asian importers hardest, particularly India, which relies heavily on Middle Eastern crude imports.