Commodities
Crude Prices Soar on Escalating Tensions Between US and Iran
October WTI crude oil prices surged by +2.18% on Tuesday as tensions in the Middle East escalated after the US and Iran exchanged attacks for the first time in a month.
The renewed hostilities have boosted concerns that military escalation could further curtail shipping through the Strait of Hormuz, reducing global energy supplies.
Goldman Sachs reported last Friday that oil exports from the Persian Gulf had risen to 15 million to 16 million bpd, about two-thirds of pre-war levels.
The US Energy Secretary Chris Wright said the US is playing the long game with Iran, implying there are no plans to de-escalate the conflict and potentially limit crude supplied from the Middle East.