Oil prices jump 4pc on supply fears
NEW YORK: Oil prices jumped about 4 per cent to a one-week high on Tuesday as a resumption in fighting between the US and Iran renewed fears of supply disruptions from the Middle East. Brent futures rose $3.44, or 3.8pc, to $93.93 a barrel at 1:10 p.m. EDT (1710 GMT), while US West Texas Intermediate crude rose $3.72, or 4.3pc, to $89.48. That would mark the highest close for Brent since Aug 20…
Oil prices surged approximately 4% on Tuesday, reaching a one-week high, due to renewed fears of Middle Eastern supply disruptions following renewed hostilities between the United States and Iran. Brent futures climbed $3.44, or 3.8%, to $93.93 a barrel, while US West Texas Intermediate crude increased $3.72, or 4.3%, to $89.48.
This marked the highest close for Brent since August 20 and for WTI since July 23. The US executed new air strikes on Iranian targets on Tuesday, putting an end to hopes that a brief exchange of fire last weekend might not signal a broader resumption of hostilities. Oil prices had already risen following that initial exchange of direct attacks since July and following reports of two tankers being struck, causing Iran to block the Strait of Hormuz, which is a crucial global oil supply route.
Iran remained defiant, warning it would prevent the export of oil from the Gulf, despite a threat from US President Donald Trump to retaliate "hard" against Iran in response to the renewed strikes. US Treasury Secretary Scott Bessent also warned that Washington was on the verge of imposing additional sanctions. The diesel surge was attributed to disruptions at refineries worldwide, particularly in the Middle East and Russia, which led to diesel prices surging 51% over the past 10 weeks, pushing the diesel HOc1-CLc1 crack spread to a record high near $106 a barrel.
Written by urgent.news from Dawn Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
