Oil prices surged by more than $4 per barrel on Monday. Renewed tensions between Iran and Israel raised concerns about energy supplies and regional stability.
Brent crude oil gained more than $4 and reached $97.03 per barrel. West Texas Intermediate (WTI) crude also rose by $4 to $94.17 per barrel. The increase followed a new exchange of attacks between Iran and Israel. Investors feared that the conflict could disrupt oil exports from the Middle East.
The latest gains erased most of the losses recorded on Friday. Earlier declines came after hopes for lower tensions and diplomatic progress between Iran and the United States.
However, the recent attacks created fresh uncertainty in global energy markets. Analysts warned that the escalation could complicate ongoing diplomatic efforts. They also said it could increase risks to global oil supplies.
Investors remain focused on the Strait of Hormuz. The strategic waterway serves as one of the world’s most important routes for oil and natural gas shipments. A large share of global energy exports passes through the Strait each day.
Any disruption to shipping traffic could affect international oil supplies. Such a development would likely push prices even higher.
Iran launched missiles toward Israel after recent Israeli military operations in Lebanon. The exchange marked another escalation in regional tensions. It also increased fears of a wider conflict across the Middle East.
US President Donald Trump reportedly urged Israeli Prime Minister Benjamin Netanyahu to avoid further escalation. He called for restraint to prevent the crisis from expanding.
The conflict follows months of rising tensions in the region. Earlier this year, Israel carried out military operations in Lebanon after Hezbollah launched rockets and drones toward border areas. On June 3, Lebanon and Israel announced a ceasefire after diplomatic talks.
Meanwhile, OPEC+ agreed to increase oil production for the fourth straight month. Experts believe the decision may have only a limited effect. Many producers still struggle to meet production targets. Concerns about the Strait of Hormuz continue to support higher oil prices.
