Middle East Conflict Drives Oil Prices Over $100 Per Barrel
Global oil prices have surged to $100 per barrel, their highest level since July. This rise comes amid ongoing conflict in the Middle East, which has raised concerns about disruptions to oil supply.
The Brent crude benchmark rose by 2.3% early Wednesday, briefly trading at $100 per barrel before falling back slightly. US crude oil prices also increased, rising 1.3% to hit $94 per barrel.
Oil prices have been volatile this year, influenced by flare-ups in fighting and tanker traffic through the Strait of Hormuz. Despite efforts by the US to help tankers navigate the strait, tensions persist, with Iran-backed Houthis targeting Saudi Arabia's oil infrastructure.
The surge in oil prices has pushed up costs for consumers worldwide, contributing to inflationary pressures. The US national average diesel price hit a record $5.90 a gallon on Tuesday, according to AAA data.