Oil jumps 3% as US, Iran expand strikes

Oil prices jumped about 3% on Monday, with Brent oil prices surpassing $90 per barrel, as escalating US-Iran ​hostilities in the ⁠Middle East restricted oil shipments through the Strait of Hormuz.

Brent crude futures ‌climbed $2.77, or 3.14%, to $90.87 by ‌0612 GMT, touching the highest since June 11, extending gains after rising 15.9% last week, its biggest weekly gain since April.

US West Texas Intermediate crude was at $84.84 a barrel, up $2.35, or 2.85%, the loftiest since ‌June 12. Front-month prices gained 15.5% last week, the largest weekly ascent since early March.

The Middle East conflict ⁠escalated over the weekend with the U.S. conducting a ninth straight night of attacks against Iran, while US allies Kuwait and Bahrain reported more Iranian strikes.

"ICE Brent broke above $90 per barrel this morning with no let-up in the escalation in the Gulf," said ING analysts in a note on Monday.

"The US and Iran continue to exchange strikes, which are proving to be deadly for both sides. If this ​escalation goes unchecked, we could return to an environment of wide-scale attacks across the Gulf."

Reuters