Iran Strait of Hormuz Bill Sends Oil Prices Soaring

Oil prices surged by over $3 a barrel on Thursday as an Iranian parliament committee reviews a bill to ban US and Israeli vessels from the Strait of Hormuz, which accounts for one-fifth of global daily oil and liquefied natural gas supplies.

The proposed restrictions would fine violators up to 20% of cargo value. Brent crude futures gained $3.09, or 3.89%, to $82.54 a barrel by 12:37 p.m. EDT, while U.S. West Texas Intermediate futures rose $2.49, or 3.31%, to $77.71.

Iran has warned Gulf states that any new US attack on its territory would trigger retaliation against critical energy infrastructure across the region.