Oil Prices Rise as Middle East Conflict Fuels Supply Concerns

PUKMEDIA

Oil field.

Oil prices extended their gains on Tuesday as the risk of a prolonged conflict in the Middle East increased, after Iran threatened to retaliate against any further US attacks on its assets.

The threat heightened concerns over potential disruptions to global oil supplies, putting further upward pressure on prices.

According to Reuters, Brent crude futures climbed 49 cents, or 0.5%, to $97.49 a barrel by 0400 GMT. U.S. West Texas Intermediate crude was at $92.92 a barrel, up $1.44, or 1.6%.

Iran threatened the U.S. with "economic warfare" and said it had fired an advanced missile at U.S. warships, highlighting the risk of a wider escalation days after the two sides exchanged fresh strikes.

On Saturday, U.S. forces had struck three Iranian oil tankers, including one near Kharg Island, Iran's main oil export hub, according to U.S. Central Command. The attacks followed strikes ‌by Iran's ⁠Revolutionary Guards on U.S. warships operating in the region.

Shipping traffic through the Strait of Hormuz also slowed at the start of this week, after Iran threatened on Monday to retaliate for any new U.S. attacks.




PUKMEDIA