Oil Prices Soar as Middle East Tensions Escalate
Oil prices surged to six-week highs on Monday as tensions between Iran and the United States escalated in the Middle East. Brent crude futures rose 85 cents, or 0.9%, to $97.13 a barrel by 12:38 p.m. EDT (1638 GMT), after hitting their highest point since July 24 at $98.06.
U.S. West Texas Intermediate crude was up 1.3%, or $1.15, at $92.63 a barrel. WTI futures earlier rose as high as $93.29, also the highest since July 24. 'Strike our assets and you get struck,' Iranian Parliament Speaker Mohammad Baqer Qalibaf said on Monday.
The conflict has severely reduced oil supply from the region, forcing nations to burn through stockpiles to avoid deficits. Regional tensions were heightened by Israeli strikes on a town in southern Lebanon that killed at least 12 people on Monday.