Oil Prices Soar as Tensions with Iran Reach New Heights

Oil prices surged on Monday to their highest in over a month as tensions between the US and Iran continued to escalate, restricting oil shipments through the Strait of Hormuz.

Brent crude futures rose $1.03 or 1.17% to $89.13 a barrel, reaching its highest since June 11 and extending last week's 15.9% gains - its largest weekly increase since April.

US West Texas Intermediate crude climbed 65 cents or 0.79% to $83.14, touching its loftiest level since June 12 and following a 15.5% gain in front-month prices last week - the largest weekly ascent since early March.

UBS analyst Giovanni Staunovo attributed the rise in oil prices to the tightening of the market, citing repeated strikes on vessels crossing the Strait of Hormuz as a contributing factor.