Oil Prices Soar as Hormuz Tensions Escalate

Oil prices surged at the start of the week due to heightened geopolitical tensions surrounding Iran and the Strait of Hormuz. Unconfirmed reports indicated that an Iranian missile attack struck a tanker in the area, setting it on fire.

The incident has increased concerns about shipping security through one of the world's most important energy corridors. The oil market is balancing recovering global supply against the risk of significant disruptions from ongoing geopolitical uncertainty.

WTI crude rose around 2% toward $80 a barrel and Brent crude approached $85, as traders priced in a meaningful risk premium into energy markets.