Oil Prices Soar Above $90 on Escalating US-Iran Tensions

Oil prices jumped more than 2% on Monday, reaching above $90 a barrel, as tensions between the US and Iran escalated. The Brent international benchmark rose after the US attacked Iranian rocket launchers near the Strait of Hormuz, its first strikes on the country in a month.

Tehran retaliated by launching missiles at US military targets in Jordan, prompting President Donald Trump to say that the US would hit back against the Iranian strikes. The conflict has been ongoing for six months and has raised concerns about the stability of global energy supplies.

The news also comes as the US Federal Reserve is under pressure to raise interest rates to combat high inflation, which has been driven in part by elevated energy costs. Federal Reserve chief Kevin Warsh gave a speech at the Jackson Hole symposium on Friday, where he hinted that rate hikes were likely coming soon.