US-Iran Conflict Escalates, Oil Prices Soar Amid Joint Strikes

Oil prices surged on Wednesday, July 29, 2026, after joint strikes by the United States and Saudi Arabia in Iraq and the interception of Iran's ballistic missiles aimed at US forces in the Middle East.

Brent futures increased by $2.70 or 3.2% to $86.79 a barrel by 0645 GMT, while U.S. West Texas Intermediate (WTI) crude rose $2.65 or 3.3% to $81.91 a barrel.

ING analysts said the renewed strength in oil prices comes after the US intercepted a surprise attack on its troops, dampening expectations for a swift de-escalation in the Gulf.

The US and Saudi Arabia launched strikes on Iran-backed groups in Iraq, blaming them for drone attacks on Saudi oil facilities. Iran warned that blaming it for such attacks was a 'major miscalculation.'