US-Iran Tensions Send Oil Prices Soaring
Oil prices have been hovering near six-week highs, reaching $97.47 per barrel for Brent crude and $92.26 per barrel for WTI, as tensions between the US and Iran continue to rise.
The recent attacks on vessels sailing in the Strait of Hormuz have led to a decline in oil flows in the Middle East, with an average of 10 commodity ships transiting the strait per day over the past 10 days, according to data from analytics firm Kpler.
The Saturday attacks, which targeted three Iranian oil tankers and three US-linked vessels, have been described as a 'major escalation' by maritime intelligence firm Marisks, with commercial tankers being deliberately used as instruments of reciprocal economic pressure.
Goldman Sachs has predicted that oil prices may rally to as much as $120 per barrel if attacks on shipping continue to rise.