Iran-US Conflict Sends Oil Prices Higher Amid Supply Disruptions

The ongoing conflict between the United States and Iran has pushed oil prices higher, despite supply disruptions. Brent crude futures rose by $0.25 to $94.90 a barrel, while US West Texas Intermediate crude futures were up by $0.10 at $90.32. The recent attacks represent the biggest exchange of fire since July.

Dennis Kissler, senior vice president of trading at BOK Financial, said that while conflicts will slow transit through the Strait of Hormuz, the market has absorbed the fact that workaround crude oil supplies can still make it to the market eventually.

Nations worldwide have relied on their reserves, which have also dwindled. The Islamic Revolutionary Guard Corps warned that US attacks would further restrict traffic through the strait. However, US Secretary of Energy Chris Wright claimed that 17 million barrels of oil transited the Strait of Hormuz on Monday, the largest volume since the conflict began.