Middle East Airstrikes Spark 7% Oil Price Surge

Oil prices surged by about 7% on Wednesday as airstrikes in the Middle East escalated, fueling concerns over dwindling supplies. The U.S. and Saudi Arabia launched strikes on Iran-backed groups in Iraq, blaming them for drone attacks on Saudi oil facilities.

The market reacted swiftly to the escalating tensions, with Brent futures settling at $90.74 a barrel, a 7.91% increase from Tuesday's close. U.S. West Texas Intermediate crude rose by 6.56% to $84.46 a barrel.

President Donald Trump vowed further strikes against Iran in an interview with Fox News, sending oil prices even higher. The U.S. also issued new sanctions targeting Tehran's efforts to 'monetize the Strait of Hormuz', designating 10 entities and eight tankers.