Oil Prices Climb on US-Iran Tensions; Brent Tops $91

Crude oil prices continued their rally Tuesday, buoyed by geopolitical tensions in the Middle East that have sparked fresh worries about energy supply security. Brent crude traded near the $91 mark, while West Texas Intermediate (WTI) held above $86 per barrel, building on Monday's strong performance.

The upward momentum reflects trader concerns that escalating US-Iran rhetoric could threaten one of the world's most critical energy chokepoints. The Strait of Hormuz, through which roughly one-fifth of global oil passes daily, has long been identified as a potential flashpoint in any military confrontation between the two nations.

Monday's session proved particularly robust for energy markets, with WTI posting its largest single-day gain in three weeks after climbing 2.8%. The surge underscores how quickly geopolitical developments can reshape commodity sentiment, with energy traders factoring in increased risk premiums to reflect supply disruption scenarios.

For India, which imports roughly 80% of its crude oil requirements, sustained price increases could have notable implications for domestic fuel costs and the country's current account deficit. Market participants will continue monitoring developments between Washington and Tehran for signals about the trajectory of both regional tensions and energy prices in coming weeks.