Oil prices surge after Trump's Iran decision
Photo: The oil market is in turmoil again (Getty Images)
Global oil prices have surged to their highest level in recent weeks. This happened immediately after US President Donald Trump's statement, according to The New York Times.
Brent crude oil jumped by over 5% and surpassed the $78-per-barrel mark. This is the highest level in the past two weeks.
Although the current price is still significantly lower than previous peaks, this surge has once again pushed prices above the so-called pre-war level of $72 per barrel. Prices had been holding steady at that level for the past few days.
US WTI crude oil showed a similar trend, rising to over $74 per barrel.
Against the backdrop of rising oil prices, the S&P 500 index fell by 1%. Leading stock markets in Europe and Asia also saw similar declines at the start of trading.
On July 8, US President Donald Trump announced that the United States would no longer adhere to the ceasefire with Iran. Furthermore, he added that the White House was refusing to negotiate with Tehran.
The US leader announced his new decision following a fresh escalation of tensions in the Middle East.
The US military launched new strikes against Iran after an Iranian attack on commercial vessels.
The White House revoked the sanctions exemption that had allowed Tehran to export oil.
As a result, oil prices surged once again.
