Oil Prices Spike on Middle East Tensions, UAE-Iran Escalation

Oil prices surged on Wednesday, reaching their highest levels in nearly four weeks as investors grew increasingly anxious about escalating tensions in the Middle East.

The United Arab Emirates (UAE) has suspended all financial and economic transactions with Iran, while ship traffic through the Strait of Hormuz remains slow.

Brent crude futures settled at $91.62 a barrel, up 60 cents or 0.7%, while U.S. West Texas Intermediate crude futures rose 89 cents or 1.1% to settle at $85.83 a barrel.

Dennis Kissler, senior vice president of trading at BOK Financial, attributed the gains to geopolitical tensions in the Middle East, citing the UAE's decision to cut off financial ties with Iran as a major contributor.