Middle East Tensions Send Oil Prices Soaring
Oil prices rose on September 1 as fighting between the US and Iran in the Middle East revived concerns about supply disruptions from the region's key crude-producing area.
Brent crude futures increased by 56 cents, or 0.6%, to $91.05 per barrel at 8:44 am Singapore time, while US West Texas Intermediate crude was up 83 cents, or 1%, to $86.59.
The recent escalation of tensions comes after US President Donald Trump threatened further strikes against Iran following the first exchange of direct attacks between the countries in a month on August 30.
Tim Waterer, chief market analyst at KCM, said that the renewed potential for Iranian retaliation raises the prospect of damage to energy infrastructure around the Gulf and adds fresh uncertainty for shipping through the Strait of Hormuz.