Oil prices surged more than 7% after Israel launched strikes on Iran, escalating tensions across the Middle East. The sharp rise in prices reflects growing fears of supply disruptions. Brent crude and U.S. West Texas Intermediate (WTI) both jumped to their highest levels in several months.
Brent crude rose $5.29, reaching $74.65 per barrel. It even hit an intraday peak of $75.32. This marks the highest point since early April. WTI climbed $5.38, rising to $73.42 per barrel. It briefly reached $74.35, the most since early February.
Israel confirmed it struck Iran’s nuclear and military sites. Reports from Iranian media noted explosions in Tehran. These attacks came amid efforts by the U.S. to stop Iran from making nuclear weapons. The ongoing dispute has shaken markets worldwide.
Energy analysts say the price spike shows increased fear of supply risks. According to experts, the real danger begins if Iran hits oil infrastructure. Iran also holds a key position near the Strait of Hormuz, a vital oil shipping route.
If Iran blocks the Strait, as some fear, nearly 20 million barrels per day could be affected. That would send oil prices soaring and cause chaos in energy markets. The Strait of Hormuz plays a central role in global oil transport.
Israel’s goal, according to its leaders, is to damage Iran’s missile programs and military strength. Prime Minister Netanyahu stated the strikes aimed to stop Iran’s nuclear progress. Meanwhile, Iran declared a state of emergency and promised to strike back.
Tensions continue to rise as global powers react. U.S. officials denied involvement in the strikes. They also warned Iran not to attack American personnel in the region. Still, some analysts worry that the situation may drag other countries into the conflict.
In response, financial markets around the world dropped. Investors moved away from risky assets. Gold and the Swiss franc became safe havens. Traders also sold off stocks, especially in early Asian trading sessions.
Experts believe the threat of retaliation remains high. Market analyst Tony Sycamore said traders may reduce risky investments in the coming days. He noted that uncertainty around Iran’s response could cause further market stress.
In conclusion, the situation remains tense. The oil market is extremely sensitive to conflict in the region. As fears grow about Iran’s next move, prices may keep climbing. Global leaders now watch closely to see how far this crisis will spread.