Oil prices jump over 2% after US strikes on Iran

Global oil prices climbed more than 2% on Wednesday, July 8, after U.S. airstrikes on Iran and the reinstatement of sanctions targeting Iranian oil sales, raising concerns about supply disruptions and the stability of a fragile truce.

Brent crude futures rose $1.92, or 2.6%, to $76.08 per barrel, while U.S. West Texas Intermediate (WTI) gained $1.82, or 2.6%, to $72.26 per barrel.

The gains followed a roughly 3% increase in both benchmarks a day earlier, after Washington revoked a general license that had permitted Iranian oil exports, in response to actions by Tehran.

Analysts at ING said the move is unlikely to significantly alter market fundamentals but has heightened concerns about the durability of the temporary agreement between the United States and Iran.

The U.S. Central Command (CENTCOM) said the airstrikes were conducted in response to Iranian attacks on three commercial vessels passing through the Strait of Hormuz.

By Tamilla Hasanova