Oil prices and Iran strikes pushed Brent crude above $96 per barrel on Wednesday after the US military began new airstrikes on Iran.
Brent futures rose 3.4%, while US benchmark WTI crude climbed 3.8% above $93 per barrel, according to delayed market data.
US Central Command said it began “additional self-defence strikes” against multiple targets in Iran at 5:15 p.m. ET.
Iranian media reported explosions near Qeshm and Kish islands, and near Bandar Abbas, Minab and Sirik, Reuters said.
Iran’s top military command said the Strait of Hormuz had closed less than two hours after the US strikes began, according to Reuters.
Iranian media, citing the Islamic Revolutionary Guard Corps, said two ships had been struck while trying to leave the Persian Gulf. US stock futures also fell after the escalation. Futures tied to the S&P 500, Dow Jones Industrial Average and Nasdaq 100 all moved into losses.
Prices later pulled back by roughly 1% after Fox News reported comments from President Donald Trump on direct contact with Iranian leaders.
Read: US Iran Strikes Enter 2nd Day As Trump Threatens More
Trump earlier told reporters at the White House that the United States would attack Iran “very hard.”
Rystad Energy geopolitical analyst Jorge León said oil could reach $150 per barrel in the near term if the conflict heats up further.