US-Iran Conflict Fuels Surge in Oil Prices

Oil prices rose for a third consecutive session on Wednesday as tensions between the US and Iran heightened fears of disruptions to crude supplies from the Middle East.

The conflict, which saw overnight US strikes on Iranian targets and counterstrikes by Tehran, has raised concerns about the safety of shipping through the Strait of Hormuz, a strategic waterway that handles around one-fifth of global oil consumption.

Brent crude futures surged as much as 1.1% to $95.68 per barrel in early US trading, while West Texas Intermediate crude rose 0.7% to $90.83.

Despite the geopolitical risks, US Energy Secretary Chris Wright noted that approximately 17 million barrels of oil sailed through the Strait of Hormuz on Monday, indicating some supplies are still flowing despite the tensions.