Oil prices surge after Iran strikes and fresh Strait of Hormuz shipping incident

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Brent crude crosses $90 as Middle East tensions threaten key oil supply route.

Oil prices jumped in early Asian trading on Monday after the United States carried out another round of strikes on Iran, marking the ninth consecutive night of attacks, while a vessel was reported to have caught fire in the Strait of Hormuz.

The surge was driven by mounting concerns that escalating tensions in the Middle East could threaten oil flows through the Strait of Hormuz, one of the world’s most important energy transit routes.

Brent crude futures for September delivery climbed 2.72 per cent to $90.50 a barrel by around 0100 GMT (10am Tokyo time). Prices briefly surpassed the $91 mark, reaching their highest level since June.

US benchmark West Texas Intermediate (WTI) also climbed 2.39 per cent to $84.46 a barrel.

Meanwhile, the UK Maritime Trade Operations (UKMTO) reported that a vessel caught fire in the Strait of Hormuz on Monday, in waters located around 15 kilometres northwest of Oman, adding to concerns over shipping disruptions in the vital oil transit route.

The agency did not provide details on what caused the vessel to catch fire.

US President Donald Trump said on Sunday evening that the United States was striking Iran “very hard” in response to the recent deaths of American personnel in the Middle East.

Separately, Kuwait’s military said on Monday that it was taking action after an Iranian drone attack targeted its territory, further escalating regional security concerns.

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