Oil Prices Soar on Renewed Mideast Tensions
Oil prices have reached a six-week high due to renewed tensions in the Middle East. The latest US strikes on Iran, which killed 18 people and wounded 108 across the country, have heightened fears of disruptions to energy supplies.
The Brent crude futures rose by $1.66, or 1.7 percent, to $97.29 a barrel, while US West Texas Intermediate crude gained $2.03, or 2.2 percent, to $93.04. Both benchmarks were on track for a fourth straight day of gains.
The conflict between the US and Iran has been ongoing for seven months, with Israel's Defence Minister Israel Katz warning that his country would 'cripple' Iran's military and civilian infrastructure if Tehran launched attacks against Israel.
Ole Hansen, a Saxo Bank analyst, attributed the rise in oil prices to Katz's comments. The market also remains tight, with global inventories continuing to decline, according to UBS energy analyst Giovanni Staunovo.