Oil rises as expanding US-Israeli conflict with Iran elevates supply risks

Oil prices rose for a third day on Tuesday as the widening U.S.-Israeli conflict with Iran and threats to shipping through the Strait of Hormuz heightened fears of supply disruptions from the key Middle ​East producing region. Brent crude futures were at $78.83 a barrel, up $1.10, or 1.4%, by 0107 GMT. ‌ On Monday, the contract surged to as high as $82.37, its highest since January 2025, though it pared those gains to settle 6.7% higher. US West Texas Intermediate crude jumped 74 cents, or 1%, to $71.97 a barrel. In the previous session, the contract initially climbed ​to its highest since June 2025 before sliding back to still settle up 6.3%. “With no quick ​de-escalation in sight, the Strait of Hormuz effectively closed and Iran showing a willingness to ⁠target energy infrastructure in the region, upside risks remain and they grow the longer the conflict drags ​on,” Tony Sycamore, IG market analyst, said in a note.