Business · India Bureau
Oil prices surge as US-Iran tensions escalate in early trading
Global crude benchmarks climbed sharply in early Asian trading Wednesday as geopolitical tensions between Washington and Tehran weighed on investor sentiment. Both Brent and US crude recorded gains exceeding 1.5% in the opening hours.
LSN India ·
Brent crude futures jumped $1.57 per barrel, or 1.6%, to reach $99.49 a barrel in early trading Wednesday, while US West Texas Intermediate crude advanced $1.60, or 1.72%, to $94.63 a barrel. The rally reflected growing concern among market participants over escalating hostilities between the United States and Iran, a major regional oil producer whose supply disruptions could significantly impact global energy markets. Crude oil futures have proven sensitive to geopolitical developments in the Middle East, where a substantial portion of the world's proven reserves are located. The uptick in prices comes as energy traders reassess the risks posed by heightened US-Iran tensions and their potential ramifications for regional stability and oil production. Market analysts expect crude volatility to persist as long as diplomatic and military tensions remain elevated in the strategically important Gulf region.