Oil prices surge after latest US attacks on Iran
Photo: Oil prices have risen again following new US strikes on Iran (Getty Images)
Oil prices rose by more than 1% on Thursday, July 9, following new US strikes against Iran, which dashed hopes for negotiations to end the war and fully restore shipping through the Strait of Hormuz, according to Reuters.
Brent crude futures rose 86 cents, or 1.1%, to $78.88 per barrel. US West Texas Intermediate crude rose 85 cents, or 1.2%, to $74.37 per barrel.
A client note from analysts at ING Bank says that new US strikes against Iran led to a rise in oil prices this morning, and the latest escalation has undermined confidence in the fragile ceasefire.
Before the war with Iran began, one-fifth of global oil and liquefied natural gas supplies passed through the Strait of Hormuz, and Tehran’s control over this waterway was its main lever of influence in the conflict, which began with US and Israeli airstrikes on Iran on February 28.
IG analyst Tony Sycamore believes that the movement of oil tankers through the Strait of Hormuz, which had continued in recent weeks, has now effectively ceased, and shipowners are likely to adopt a more cautious stance.
New US strikes against Iran
During the NATO summit on July 8, US President Donald Trump declared that the ceasefire with Iran was over. He noted that he would not negotiate with Tehran after Iran attacked merchant ships on July 7.
Trump also told reporters that following recent US strikes, Iran had contacted Washington and offered to reach an agreement. However, he does not know whether Tehran is worthy of such an offer.
On the night of July 9, the US launched strikes on Iranian territory, targeting nearly a hundred sites.
