Middle East Tensions Push Oil Prices Higher Again

Oil prices have increased due to renewed fears of supply disruptions from the Middle East. The resumption of fighting between the US and Iran has raised concerns about damage to energy infrastructure in the region.

Brent crude futures rose by $0.56, or 0.6%, to $91.05 a barrel at 0044 GMT, while US West Texas Intermediate crude increased by $0.83, or 1%, to $86.59.

Tim Waterer, chief market analyst at KCM, said that the potential for Iranian retaliation and damage to energy infrastructure in the Gulf has raised uncertainty for shipping through the Strait of Hormuz.

The number of visible commodity vessels transiting the Strait of Hormuz dropped to five per day over the weekend, according to shipping data from Kpler. Efforts by mediators to reopen the waterway have so far failed to gain traction.