Oil Prices Soar as US-Iran Conflict Escalates

Oil prices surged more than 2% on August 31 after a US attack on Iran's Larak island in the Strait of Hormuz led to retaliation from Tehran, prolonging the conflict in the Middle East into its sixth month.

Brent crude futures rose $2.51, or 2.85%, to $90.61 a barrel as of 2:41am GMT, while US West Texas Intermediate crude was at $85.53, up $2.13, or 2.55%.

US forces struck two launchers on Iran's Larak island the previous day, marking the first known American strikes on the Gulf nation since late July.

In response to the US attack, Iran attacked two US air bases in Jordan, according to Iranian media citing Iran's Revolutionary Guards.