Oil prices climbed on Thursday as fresh U.S. military strikes in Iran reignited fears of potential disruptions to commercial shipping through the Strait of Hormuz, a vital artery for global energy flows.
The Strait, which handles about 20% of the world's oil shipments, has been a focal point of geopolitical tensions for months.
The latest strikes have added to the uncertainty, with analysts noting that even the perception of risk can drive significant price movements in energy markets.
Brent crude futures, the international benchmark, rose over 1.81% to reflect the heightened risk.
The market reaction underscores the sensitivity of energy prices to developments in the region, where any escalation could have far-reaching consequences for global supply chains.
The Strait of Hormuz has been a flashpoint in recent weeks, with prior incidents involving U.S. and Iranian forces raising concerns about the potential for renewed conflict.
The latest strikes have added to the uncertainty, with analysts noting that even the perception of risk can drive significant price movements in energy markets., with the next key development likely to be any official statements from either the U.S. or Iranian governments regarding the intent behind the strikes and whether further action is planned.