US Strikes on Iran Spark Oil Price Surge Above $90

The recent escalation in the US-Israel-Iran conflict has sent oil prices soaring, with Brent crude jumping above $90 per barrel and WTI crude climbing to over $85. The rise follows a series of attacks on Iranian military positions on Larak Island near the Strait of Hormuz, which Washington claimed targeted preparations for deploying sea mines in the waterway.

The US strikes on Sunday marked the first direct US attacks on Iran since late July, and were met with retaliatory attacks from Tehran against US bases in Jordan. The exchange has revived fears of a prolonged disruption to one of the world's most important oil shipping routes, with shipping activity through the Strait already falling sharply due to ongoing conflict.

The Strait of Hormuz remains a major concern for global oil markets, as it connects the Persian Gulf with the Gulf of Oman and serves as a key route for international energy shipments. Before the war, around one-fifth of global oil flows passed through the strait, but shipping data shows that only five notable cargo vessels per day have been passing through over the weekend.

The latest jump in oil prices has left traders on edge, with many watching closely to see whether diplomatic efforts can restore normal shipping through the strait. If tensions ease and shipping resumes, the recent risk premium could fade, but continued attacks or further mine threats could keep Brent above $90 and put pressure on global energy markets.