Brent crude prices climbed to $85 per barrel on Tuesday, marking the first time the benchmark has reached that level in over a month.
The move followed a fresh wave of US military strikes against Iran, intensifying concerns over the security of global energy supply routes.
European stock markets opened in negative territory, weighed down by the rising cost of energy and broader geopolitical uncertainty.
The price action underscores a significant shift in investor positioning regarding the Strait of Hormuz.
Rather than viewing the conflict as a transient shock, markets are increasingly pricing in a continuum of disruptions.
Prediction markets have adjusted their odds, assigning a low probability to the resumption of normal shipping operations before the end of 2026.