Oil Prices Soar Amid Escalating Iran-US Tensions

Oil prices surged on Tuesday as tensions between Iran and the US continued to escalate. The conflict, which has been ongoing since February 28 when the US and Israel launched attacks on Iran, shows no signs of abating. In fact, a senior Iranian official revealed that the country will shift to a 'fully offensive' military posture due to stalled efforts to negotiate a permanent end to the war.

The decision by Iran comes after Washington ruled out extending a temporary ceasefire agreement. The US has also responded to Iran's negotiations with Oman over managing the Strait of Hormuz, a strategic waterway through which oil tanker traffic is crucial, with a threat to bomb the Gulf state.

Oil prices reflected the uncertainty and concern about energy supply. Brent crude futures rose 27 cents or 0.3% to $91.14 by 0003 GMT, while US West Texas Intermediate crude futures CLc1 were up 42 cents to $85.04 a barrel. The last time oil prices reached these levels was in July.