Brent crude and WTI posted fresh session highs as President Donald Trump signaled that the United States is prepared to launch additional military strikes against Iran.
The remarks, which suggested a decision on renewed operations could be imminent, reignited fears of a supply disruption in the Persian Gulf region.
Markets reacted swiftly to the escalation, pushing energy benchmarks higher as traders priced in the risk of further instability in one of the world’s key oil-producing zones.
The development marks a sharp deterioration in US-Iran relations, following weeks of heightened rhetoric and shipping tensions in the Strait of Hormuz.
Earlier this week, Iran warned oil tankers to adhere to approved routes or face forceful responses, while Oman’s diplomatic opacity on Hormuz fees added to the uncertainty surrounding trade routes. The prospect of direct military action now overshadows those logistical concerns, introducing a more severe geopolitical risk premium into energy markets.
Investors are closely monitoring the situation for any official confirmation of strike authorization.