Oil Prices Soar as US Strikes Iranian Rocket Launchers

The US strike on Iranian rocket launchers has sent shockwaves through global markets. The attack led to a surge in oil prices, with Brent crude up 2.9% at $90.61 per barrel and U.S. benchmark crude jumping 2.7% to $85.66 per barrel.

The Trump administration's shift towards military action has raised concerns about the stability of the region. Stephen Innes of SPI Asset Management warned that 'the Middle East had finally gone quiet enough for oil traders to start sanding some of the war premium out of crude.'

The move comes as markets were already bracing for a potential interest rate hike by the Federal Reserve, which could slow down economic growth. Fed Chairman Kevin Warsh reinforced this expectation in his speech at Jackson Hole, Wyoming.