Kuwait Under Fire Sends Crude Oil Prices Soaring

Crude oil prices rebounded on Thursday as Kuwait came under Iranian missile and drone fire, increasing tensions in the region. The attacks have heightened concerns about the safety of shipping through the Strait of Hormuz, a crucial waterway for global oil supplies.

The number of vessels transiting the strait dropped to six on Wednesday, down from 11, which has kept Gulf supply risk firmly in the crude oil trade. Iraqi exports are rising, but tankers need Iranian approval to pass through the strait, leaving Gulf supply dependent on Tehran's terms.

After opening lower and falling by as much as $2 a barrel, prices reversed direction as investors sought safe havens and traders tried to take profits after a three-session surge of 8% to 9%. US President Donald Trump said the fighting would not last too long.