Oil futures jumped 1.07% to $92.56 as Mideast strikes escalate tensions
Oil prices rose for the third consecutive day following tit-for-tat military strikes between Iran and the United States, breaching six-week highs driven by fears of prolonged regional conflict.
Oil futures extended gains on Tuesday, climbing for a third straight session as renewed hostilities in the Mideast fueled concerns over a sustained energy crisis. International benchmark Brent crude gained 0.20%, finishing at $97.20 per barrel. U.S. West Texas Intermediate futures advanced 1.07%, reaching $92.56 per barrel for October delivery. The price surge follows direct military action where the U.S. struck three Iranian oil tankers, and Iran launched ballistic missiles at two Navy vessels. The Iranian Foreign Ministry labeled the attacks on commercial ships as a 'war crime' and an act of 'economic warfare.' David Morrison, a senior market analyst at Trade Nation, described the situation as a major escalation that has pushed tensions higher. He noted uncertainty regarding a potential deal with Iran to prevent nuclear development. Concurrently, gas prices hit record highs due to the same geopolitical conflict. Iranian Parliament Speaker Mohammad Bagher Ghalibaf warned of reciprocal attacks against U.S. assets in response to defense official Pete Hegseth's threats to destroy Iranian ships. The exchange of strikes continues without a clear de-escalation path.
