KABUL (Pajhwok): Global oil prices rose by more than 2 percent on Monday after US forces struck two Iranian launchers on Larak Island in the Strait of Hormuz and Iran retaliated by attacking US bases in Jordan, according to reports.
Reuters reported that Brent crude futures rose $2.21, or 2.51 percent, to $90.31 a barrel at 0436 GMT, while US West Texas Intermediate (WTI) crude climbed $1.83, or 2.19 percent, to $85.23 a barrel.
US forces struck the two Iranian launchers on Sunday, marking the first known US strikes on Iran since late July. Iran subsequently attacked two US air bases in Jordan, according to Iranian media citing the Islamic Revolutionary Guard Corps (IRGC).
The renewed escalation has increased concerns about the security of shipping through the Strait of Hormuz, a key route for global oil supplies.
Reuters reported that negotiations aimed at ending the conflict were at an impasse, while efforts to reopen the Strait of Hormuz remained uncertain.
Shipping data showed that the number of visible commercial vessels passing through the strait over the weekend fell to five a day, reflecting increased caution among shipping companies over the risk of attacks.
The United Kingdom Maritime Trade Operations (UKMTO) said on Sunday that a tanker had been struck by a projectile while sailing into the Strait of Hormuz on Saturday.
Suvro Sarkar, head of energy research at Singapore-based DBS, said each new escalation could further delay the reopening of the strait.
He said oil prices were likely to remain in the $85-$95 per barrel range unless there was greater clarity over the situation in the Strait of Hormuz.
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