Oil Prices Surge Amid US-Iran Tensions and Attacks on Oil Infrastructure

Oil prices have reached near six-week highs due to ongoing US-Iran tensions and attacks on oil infrastructure. The price of Brent crude rose $1.19, or 1.2%, to $97.47 a barrel, while U.S. West Texas Intermediate crude hovered near a recent six-week high at $92.26 a barrel.

The US Central Command said that US forces struck three Iranian oil tankers on Saturday, including one off the coast of Kharg Island, an oil export hub. Iran's Islamic Revolutionary Guard Corps claimed to have targeted three oil tankers traveling through unauthorized routes in the Strait of Hormuz, as well as three U.S.-linked vessels in other areas.

Average tanker traffic through the Strait of Hormuz has plummeted to 10 commodity ships per day over the past 10 days, according to data from analytics firm Kpler. This significant decline has raised concerns about supply and the potential for further price increases.