Oil prices recorded significant gains on Wednesday following U.S. military strikes targeting Iran, which came after attacks on commercial ships in the Strait of Hormuz. The escalation raised concerns over stability in a key transport corridor for global crude shipments.
West Texas Intermediate futures for August rose 2.41% to $72.14 per barrel, while Brent crude for September climbed 2.24% to settle at $75.82 per barrel. The upward move in prices came after the U.S. military initiated a campaign of powerful strikes against Iranian targets. The action was taken in response to incidents on Tuesday, when three commercial vessels traveling through the Strait of Hormuz were assaulted, according to U.S. officials.
The U.S. warned Iran of severe repercussions for hostile actions against international shipping in the region. The developments put pressure on a recent ceasefire agreement, brokered last month, which had restored commercial access to the strategically significant waterway after protracted instability.
Further intensifying the situation, the U.S. Treasury Department removed a waiver on Tuesday that previously permitted Iranian oil exports, signaling a shift to a stricter policy amid rising tensions.
