SINGAPORE — Energy markets swung sharply on Monday after renewed U.S.-Iran military strikes intensified concerns over disruptions to crude shipments through the Strait of Hormuz, sending oil prices higher and adding pressure to global financial markets.
Brent crude futures rose more than 3% during early trading, while U.S. West Texas Intermediate crude also gained as investors assessed the risk of further interruptions to one of the world’s most important oil transit routes. Brent was trading around the upper-$70 range per barrel after the latest escalation, according to market data cited by Reuters.
The price moves followed renewed exchanges of strikes between Washington and Tehran. The United States carried out additional attacks on Iranian targets, while Iran launched retaliatory actions in the region, according to reports. U.S. President Donald Trump said the Strait of Hormuz remained open to commercial traffic, while Iran said it had taken steps to restrict passage through the waterway.
The Strait of Hormuz is a critical route for global energy supplies, and uncertainty over shipping access has been a central driver of recent market volatility. Ship-tracking data cited by Reuters showed that only a limited number of vessels transited the strait on Sunday, though U.S. officials said commercial movement continued.
Investors also monitored the broader economic impact of higher energy costs. Rising oil prices can increase fuel and transportation expenses and complicate efforts by central banks to manage inflation. Global equities faced pressure as markets reacted to renewed geopolitical risks, with energy-related shares benefiting while other sectors declined.
U.S. Central Command has said American operations in the region were aimed at responding to threats against U.S. forces and commercial shipping. Iran has disputed U.S. actions and has accused Washington of escalating the conflict. The competing claims could not be independently verified in all instances.
Energy traders are now watching developments around maritime traffic, diplomatic efforts and any further military activity that could affect supply flows. Market participants have not indicated that a prolonged disruption has occurred, but continued uncertainty around the Strait of Hormuz has kept prices elevated.
Officials from the United States and regional governments have not announced a new agreement to resolve the dispute, and shipping activity through the strait remains the latest confirmed indicator being monitored by energy markets.
