U.S. crude oil jumps after Iran says it attacked a tanker
U.S. crude oil prices rose above $80 a barrel on Thursday as the escalating Iran war disrupted global fuel supplies and traffic in the Strait of Hormuz was halted by attacks on tankers.
Price West Texas Intermediate oil It was last traded at $80.32 a barrel as of 1:21 PM ET, up 7.58%, or $5.66. Global benchmark Brent It rose 4.8%, or $3.91, to $85.31 per barrel. Oil prices are up nearly 20 percent this week.
Retail gas prices in the U.S. have risen about 27 cents since last week, to an average of $3.25 per gallon, according to the AAA motoring group. The group said gas prices last made a similar jump in March 2022 after Russia invaded Ukraine.
Iran claims to have hit an oil tanker with a missile state media report. Iran’s Revolutionary Guard ordered the closure of the Strait of Hormuz earlier this week and threatened to attack tankers passing through it. state media.
British Navy A massive explosion was reported on Thursday on a tanker anchored in Iraqi territorial waters. The ship’s captain reported seeing a small ship fleeing the scene. The crew is safe and no fire has been reported.
Since the start of the US-Israeli war against Iran, tanker traffic in the Strait of Hormuz has come to a halt as ship owners worry about the unstable security situation. Approximately 20% of world oil consumption is exported through the Bosphorus.
The United States will provide political risk insurance to tankers passing through the strait, President Donald Trump said Tuesday. Trump said the US Navy would escort ships in the Persian Gulf if necessary.
The Trump administration does not have a timeline for when the strait will be safe again for commercial shipping, White House press secretary Karoline Leavitt told reporters Wednesday.
“I don’t want to commit to a timeline, but this is certainly something that is being actively calculated by both the War Department and the Department of Energy,” Leavitt said when asked during a briefing.
