Oil Prices Jump as U.S. and Iran Exchange Attacks in Persian Gulf
Brent crude rose about 3.5% to nearly $79 a barrel after the United States and Iran each claimed to have struck dozens of targets in the Gulf, raising concerns for shipping through the Strait of Hormuz.
Brent crude opened around 3.5% higher on Sunday, reaching just under $79 a barrel, an increase of roughly 9% from its level before the conflict began. The rise came after the United States said it had hit about 140 targets in Iran, while Iran’s military reported firing at U.S. positions in response to a recent attack on a container ship in the Strait of Hormuz.
Shipping traffic through the strait, which normally moves about one-fifth of global oil supplies, fell to its lowest level in weeks, with only 22 vessels recorded on Thursday, according to maritime data firm Kpler. Daily traffic had previously averaged more than 130 ships before the hostilities escalated.
"We have successfully engaged a large number of Iranian targets," a U.S. military spokesperson said. "Iranian forces have responded by striking U.S. assets in the region," an Iranian military official added.