Oil Tops $90 as US-Iran Strikes Resume Over Hormuz

By Samuel Akpan

Global oil markets jolted on Monday as crude vaulted above $90 a barrel after the United States and Iran traded fresh military blows around the Strait of Hormuz, reviving fears of blocked tanker traffic through the vital waterway.

Brent futures climbed $2.21, or 2.51 percent, to $90.31 a barrel by 0436 GMT. US West Texas Intermediate rose $1.83, or 2.19 percent, to $85.23 as traders priced in fresh supply risks.

The latest clash began Sunday when American forces struck two Iranian rocket launchers on Larak Island inside the strait. Washington said the platforms were being readied to place sea mines.

US Central Command had warned that Islamic Revolutionary Guard Corps units were preparing rockets loaded with mines.

Captain Tim Hawkins said American forces stayed on high alert to keep shipping moving.

“US forces are monitoring the area closely and remain prepared to protect the free flow of commerce through this essential waterway,” Hawkins said.

The Sunday raid marked the first acknowledged US attack on Iranian targets since late July.

Officials said the launchers had been identified as mine-laying assets.

Iran’s Revolutionary Guard answered early Monday with missiles and drones aimed at American bases in Jordan, state-run IRNA reported.

The flare-up arrived days after Iran and Oman signalled progress on reopening the strait, a step that had briefly eased oil prices.

On August 25 the two nations unveiled a proposed phased plan featuring a temporary joint navigational corridor and a shared mine-clearance effort.

They also pledged further technical talks toward a permanent corridor covering traffic management, information sharing and security services.

The fighting also followed weeks in which the Trump administration had tilted toward economic pressure instead of prolonged military confrontation.

PerSecondNews recalls that on August 20 President Donald Trump had declared “economic warfare” on Iran and warned that countries, firms and banks still giving Tehran a financial lifeline would face severe consequences.