Oil prices rose to a six-week high as renewed attacks between the U.S. and Iran pushed prices upward. Brent crude futures climbed 34 cents, or 0.35 per cent, to US$97.34 a barrel. The increase followed a weekend in which the two adversaries traded strikes.
The price spike was driven by escalating tensions and concerns over potential supply disruptions in the Middle East. Iran has vowed to strike energy infrastructure across the region in response to U.S. attacks on its assets, a conflict that has sharply reduced oil supply.
Furthermore, strikes have disrupted traffic in the crucial Strait of Hormuz. A top Iranian official stated that Tehran plans to announce an exclusion zone outside the strait.