Oil extends gains for second straight session on Iran-US tensions
Crude rose to around $88 a barrel, extending Monday’s 2.8% gain as renewed US-Iran hostilities raise concerns about disruptions through the Strait of Hormuz. Supertankers reportedly were hit near the chokepoint.
Crude oil rose to around $88 a barrel on Tuesday, extending a 2.8% gain on Monday as renewed hostilities between the US and Iran heightened concerns over prolonged disruptions to energy shipments through the Strait of Hormuz.
US forces struck an island in the strategic waterway, prompting Iran to retaliate with attacks on US-linked targets in the UAE and Jordan, marking the first direct exchange of fire in about a month.
Two supertankers were reportedly hit by unidentified projectiles while transiting the chokepoint, highlighting the risks facing vessels in the region.
Despite the escalating tensions, crude exports continue to move through Hormuz, with some tankers reportedly switching off their transponders.
Producers including Saudi Arabia, the UAE, Kuwait and Iraq are still managing to ship barrels.
However, the threat of further attacks remains a major concern, particularly after a tanker was reportedly struck by three unidentified projectiles near Oman while exiting the waterway.