Trump Threatens Further Strikes Against Iran, Oil Prices Surge
Oil prices continued their upward trend in Asian trading on Tuesday as US President Donald Trump threatened further strikes against Iran following fresh hostilities that raised concerns about prolonged disruptions to energy flows through the Strait of Hormuz.
The Brent futures rose by 3% in the previous session, while West Texas Intermediate (WTI) crude futures jumped 3.6%, reaching $91.08 per barrel and $86.60 per barrel respectively.
The escalation came after US forces struck Iranian military targets on Larak Island, ending a weeks-long lull in direct attacks. Iran subsequently launched missiles at US military facilities in Jordan, prompting Trump to pledge a strong response.
Trump also said that oil secured under a newly announced deal with Venezuela would be used to replenish the US Strategic Petroleum Reserve, which has fallen to near its lowest level in 44 years, standing at about 290 million barrels as of August 21.