Oil Prices Surge Amid Middle East Conflict

Oil prices soared over 9% as tensions escalated in the Middle East after Israel struck Iran, sparking supply disruption fears. Brent crude futures rose to a five-month high after geopolitical risks increased. Concerns over Strait of Hormuz closure further fueled market anxiety.

Oil prices rose sharply by over 9% on Friday, marking the highest levels in nearly five months following Israel's military action against Iran. This escalation in the Middle East has raised serious concerns about potential disruptions in oil supply.

Brent crude futures climbed $6.29, or 9.07%, reaching $75.65 per barrel, while U.S. West Texas Intermediate rose $6.43, or 9.45%, to $74.47 per barrel. Traders are vigilant as Iran's response could affect oil shipments across the region.

Analysts warn that geopolitical uncertainty demands a larger risk premium in the oil market. Iran's possible retaliation could severely impact oil infrastructure, particularly affecting the strategic Strait of Hormuz. Regional stability remains fragile, with global markets reacting to potential threats.

(With inputs from agencies.)