Brent futures jumped $2.74, or 2.7%, to $102.95 a barrel , while US West Texas Intermediate crude gained $2.45, or 2.6%, to $95.95. In the previous session, Brent futures settled 2.8% lower while US West Texas Intermediate crude slid 5.3% after some vessels sailed through the critical waterway.
The Strait of Hormuz, a chokepoint for about 20% of the world’s oil and liquefied natural gas trade, has been largely disrupted by the US-Israeli war on Iran, now in its third week, raising concerns about supply shortages, higher energy costs and rising inflation.
“The risks remain stark: It only takes one Iranian militia to fire a missile or plant a mine on a passing tanker to reignite the entire situation,” IG Market Analyst, Tony Sycamore said in a note.
–Reuters–
