US-Iran Conflict Drives Oil Prices Up Over $1 Per Barrel
Oil prices surged on Monday as tensions between the US and Iran escalated, leading to concerns about disrupted oil supplies from the Middle East.
The price of Brent crude futures rose by $1.20, or 1.25%, to $97.48 per barrel, while US West Texas Intermediate (WTI) crude increased by $1.14, or 1.25%, to $92.62 per barrel.
Last week, Brent saw a 7.8% increase, and WTI gained nearly 10% after the resumption of US and Iranian strikes reduced oil flows through the Strait of Hormuz, which accounts for one-fifth of the world's oil supplies.
The recent attacks on vessels passing through the Strait of Hormuz have heightened concerns about prolonged disruptions to oil supplies. On Saturday, US forces struck three Iranian oil tankers, including one near Iran's key oil export hub. The naval forces of Iran's Islamic Revolutionary Guard Corps said they had attacked three oil tankers traveling through the Strait of Hormuz along unauthorized routes, as well as three additional US vessels in other areas.