MUSCAT: Oil prices rallied sharply in early Asian trade on Monday as a fresh exchange of attacks between the United States and Iran intensified concerns over the security of energy supplies moving through the Strait of Hormuz.
Murban crude jumped $3.72, or 4.04%, to $95.75 a barrel, reflecting heightened concern over supplies from the Gulf.
Brent crude earlier crossed the closely watched $90 threshold, touching $90.32 a barrel, while US West Texas Intermediate climbed to $85.41 at 7:02 a.m. Tokyo time.
Read More
- Muscat power production rises 197% as Oman posts 4.5% overall growth
- Survey launched to track learning access and skills across Oman
- HDFC Bank CEO Sashidhar Jagdishan to retire in October after deciding against reappointment
- RO 45 million Samail Hospital to bring advanced care closer to Oman’s Al Dakhiliyah
- Musandam’s non-oil economy gains momentum as investment oppportunities expand in Oman
The gains followed a US military operation targeting two Iranian launchers on Larak Island, strategically located near the Strait of Hormuz. Washington said the launchers posed a threat to navigation through the waterway.
Iran subsequently fired missiles reportedly aimed at a US military facility in Jordan, adding to fears that the confrontation could widen and place regional energy infrastructure and commercial shipping at greater risk.
The latest developments have renewed market attention on Hormuz, a critical maritime corridor for oil and liquefied natural gas exports from Gulf producers.
While the strait has not been officially shut, security concerns and threats to vessels have already prompted some shipping operators to limit movements through the area.
