Brent crude climbed above $102 per barrel on Thursday, its highest level in more than three months and nearly 15% higher since the start of September, as escalating strikes between Iran and the United States further constrained supplies from this key producing region. Tehran has signaled it will not back down from a military blockade, while the US has launched attacks on a series of Iranian tankers near Kharg Island, home to critical energy infrastructure.
The worsening situation in the Middle East has dimmed hopes that regional supply can return to normal just as Asian economies are being forced back into the energy market. China imported 8.93 million barrels per day of crude oil in August, a 6.2% increase from July, after months of relying on domestic inventories since the conflict began had helped shield the global economy from a more severe energy crunch caused by tanker blockades in the Persian Gulf. US stockpiles have also tightened, with the Strategic Petroleum Reserve hovering near record lows.
