Global oil prices climbed to a four-week high on Tuesday as escalating tensions in the Middle East heightened concerns over potential disruptions to global energy supplies.

Brent crude futures rose above $86 per barrel, while U.S. West Texas Intermediate (WTI) crude climbed above $80 per barrel as renewed hostilities between the United States and Iran raised fears over oil flows through the strategically important Strait of Hormuz.

The latest gains follow the U.S. decision to reinstate a naval blockade on Iran and introduce a 20% charge on cargo passing through the Strait of Hormuz, prompting concerns over one of the world’s busiest oil shipping routes. Shipping activity through the strait has also slowed, adding to worries about supply disruptions.

Analysts said the renewed geopolitical tensions have added a significant risk premium to oil prices, with some forecasting Brent crude could remain in the $85-$90 per barrel range if the conflict persists and energy flows continue to face disruption.  (Newswire)

The post Escalating Middle East Conflict Pushes Oil to Four-Week High appeared first on Newswire.