Brent crude climbed above $99 a barrel on Wednesday, hitting a near seven-week high and moving closer to the symbolic $100 level after the US struck several Iranian tankers near Kharg Island, a major crude export hub. The attacks have intensified geopolitical tensions and stoked fears of further disruption to global oil supplies. A US official said the strikes were carried out in response to an attempted missile attack on a US warship.
Tehran retaliated by launching ballistic missiles toward Jordan and issuing warnings to vessels in the Persian Gulf, urging tanker crews near Kuwaiti and Bahraini ports to “immediately abandon their vessels.” Iran-backed Houthi militants also targeted energy infrastructure in southern Saudi Arabia, including the 400,000-barrel-a-day Jazan refinery.
At the same time, stronger Chinese oil demand is lifting prices for African, Canadian and Latin American crude, as disruptions in the Strait of Hormuz force refiners to source barrels from more distant suppliers.
