Brent crude, the global benchmark for oil prices, surged to $95.36 per barrel on Tuesday as renewed military tensions between the United States and Iran heightened fears of disruptions to Middle East oil supplies.
Brent jumped 5.38 per cent, while US West Texas Intermediate (WTI) crude rose 5.95 per cent to $90.86 per barrel. The closing prices marked their highest levels since July 24 for Brent and July 23 for WTI.
The sharp increase came amid renewed military exchanges between Washington and Tehran. The United States launched fresh air strikes against Iranian targets on Tuesday, raising concerns that the conflict could escalate further and threaten critical energy routes in the region.
The latest escalation followed Iran’s missile attacks on two US military bases in Jordan. The attacks came after Washington said it had struck Iranian launchers on Larak Island that were allegedly preparing to fire mines into the strategic Strait of Hormuz.
US President Donald Trump had earlier threatened additional strikes against Iran while maintaining that American air defences had intercepted the Iranian missiles.
Market traders are particularly concerned about the potential impact on oil supplies if the conflict spreads or disrupts shipping through the Strait of Hormuz, one of the world’s most important oil transit routes.
The surge in global crude prices is also being felt in Nigeria, where petrol prices have risen above N1,300 per litre amid higher international oil prices.
Analysts and traders are expected to closely monitor developments between the US and Iran, as any further escalation could trigger another sharp rise in crude prices and increase pressure on fuel prices globally.
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