Oil prices rose sharply on Monday after at least three ships were attacked near the Strait of Hormuz, which is crucial for the flow of oil to the rest of the world.
On a typical day, ships carrying oil equal to about one-fifth of global demand from Saudi Arabia, the UAE, Iraq, Iran, and Kuwait sail through the Strait.
Benchmark Brent crude futures last traded up 9.4 percent at $79.73 a barrel, breaching more than a one-year high, after having climbed nearly 12 percent earlier in the day. WTI crude futures were up 7.6 percent at $72.11 a barrel.
U.S. President Donald Trump signaled the U.S.-Israeli military assault on Iranian targets may last about four weeks, framing the conflict a complex operation against a large and resilient adversary.
At the same time, he signaled that diplomatic channels with Tehran remain open. Iran intensified its retaliatory strikes against American allies in the Persian Gulf and Israel on Sunday, triggering threats of regional retaliation.
Israel launched new air strikes targeting Tehran and expanded its military campaign to include attacks on Iran-backed Hezbollah militants in Lebanon, suggesting the conflict may spread across the Middle East.
Barclays has warned that Brent crude prices could reach $100 a barrel in the event of a material supply disruption.
Market Analysis
Oil Prices Soar Amid Middle East Tensions
2026-03-02 09:20:08
