Brent Prices Soar as US-Iran Tensions Escalate Over Strait of Hormuz

Brent crude oil prices fluctuated above $96 per barrel on Monday as tensions between Washington and Tehran escalated. The price surge comes after a 9.3% increase last week, driven by concerns over prolonged disruptions to energy shipments through the Strait of Hormuz.

The US said it had struck three Iranian oil tankers over the weekend in retaliation for ballistic missile attacks on US Navy warships. Iran responded by threatening to establish a new restricted zone outside the strait, which would reportedly extend from the US Navy blockade line into parts of the Persian Gulf.

US Energy Secretary Chris Wright said that Washington will maintain its naval presence and blockade aimed at limiting Iranian oil exports while supporting the safe passage of commercial vessels. Wright previously stated that millions of barrels of crude are still moving through the Strait of Hormuz despite the escalating conflict.