US-Iran Tensions Cause Surge in Global Oil Prices
LONDON:A U.S. air strike on an Iranian island and retaliatory military strikes by Tehran triggered a spike in global oil prices of over a dollar per barrel.
Trading in the Middle East war was in its 6th month, and Brent crude futures tumbled $1.08, or 1.23 percent, to $89.18 per barrel.
WTI Crude Rises, Analyst Says.
US West Texas Intermediate (WTI) crude rose 92 cents, 1.10 percent, to $84.32 a barrel, meanwhile.
According to market analysts, the situation has now reached a new stage of the escalation process. Experts said it is hard to tell how long this highly erratic market will stay that way, but it may be a few days or it could last a few weeks.
The US military attack on Larak Island and Iran’s riposte.US military strike on Larak Island and Iran’s response.
It is worth reminding that the U.S. conducted an air attack on the Iranian Larak Island, alleging it destroyed two rocket launchers of the Islamic Revolutionary Guard Corps (IRGC).
The IRGC, in turn, however, reported that the United States’ attacks on Larak Island left casualties among Iranian military personnel and civilians. After the attack Iran responded by sending attacks at the United States forces in Qatar and Jordan.