Hormuz Crisis Sends Oil Prices Soaring as US Tries to Contain Conflict
The Strait of Hormuz crisis is escalating, with Iran firing ballistic missiles at a US aircraft carrier and destroyer on September 5. The US responded by disabling three Iranian oil tankers.
The incident has pushed Brent crude to $96.28 a barrel, its highest level since July 24. This increase in oil prices is affecting American wallets, with diesel hitting a record high of $5.85 a gallon.
The crisis began on February 28 when joint US-Israeli strikes killed Iranian Supreme Leader Ali Khamenei. Since then, there have been repeated clashes between the two nations, including a commercial ship being hit off Oman in June.
The White House is trying to contain the conflict until after the November 3 midterm elections. However, officials admit that containment could give way to escalation once the votes are counted.