US-Iran Tensions Spark Global Oil Price Spike

Oil prices surged by about 4% on Tuesday to reach a one-week high as tensions between the US and Iran escalated, raising concerns of supply disruptions from the Middle East.

The U.S. launched new airstrikes against Iranian targets, quashing hopes that an exchange of fire last weekend might not lead to a wider renewal of hostilities.

Brent futures rose $3.44, or 3.8%, to $93.93 a barrel at 1:10 p.m. EDT (1710 GMT), while US West Texas Intermediate crude rose $3.72, or 4.3%, to $89.48.

The price increase puts Brent on track for its highest close since August 20 and WTI on track for its highest close since July 23.