US-Iran Tensions Send Oil Prices Soaring as Hormuz Disruptions Loom
Oil prices have risen in response to escalating tensions between the US and Iran, which have raised concerns of a prolonged supply disruption from the Middle East.
The Strait of Hormuz, a critical waterway through which about one-fifth of the world's oil supply passes, has seen a significant reduction in oil flows due to recent attacks on vessels.
On Saturday, US forces struck three Iranian oil tankers, while Iran's Islamic Revolutionary Guard Corps targeted three US vessels and three commercial oil tankers that were traveling through unauthorized routes in the Strait of Hormuz.
The conflict has led to a surge in oil prices, with Brent crude futures climbing 52 cents or 0.54% to $96.80 a barrel, while US West Texas Intermediate crude was at $92.14 a barrel, up 66 cents or 0.72%.