US-Iran Conflict Sends Oil Prices Soaring Amid Supply Disruption Fears
Oil prices rose about 2% on Wednesday to their highest in over a week due to renewed fears of supply disruptions from the Middle East after fighting between the US and Iran resumed.
Brent futures increased $1.55, or 1.7%, to $92.04 per barrel at 10:33 a.m. EDT (1433 GMT), while U.S. West Texas Intermediate (WTI) crude rose $1.84, or 2.2%, to $87.60.
This comes after Iran said on Tuesday it would reciprocate if the US honored its commitments under a June interim deal on halting their conflict. Tensions remained high after U.S. President Donald Trump threatened Tehran with further strikes.
Saxo Bank analyst Ole Hansen noted that 'fresh hostilities between the US and Iran raised concerns about prolonged disruptions to energy flows through the Strait of Hormuz.'