Oil prices rose Thursday as new US strikes on Iran tested a fragile Middle East ceasefire and renewed concern over shipping through the Strait of Hormuz.
Brent North Sea crude rose 1.8% in morning trade to $95.95 a barrel, while West Texas Intermediate gained 1.7% to $90.17, according to market figures.
An American official told AFP that the US military shot down four Iranian drones and struck a control centre in Bandar Abbas, southern Iran. The official described the action as “measured” and “purely defensive.”
Tehran’s state media said Iranian forces fired at four ships in the strait. Kuwait said its air defences responded to missile and drone attacks.
The price rise erased much of Wednesday’s decline, when markets had moved on hopes of an imminent deal to end the conflict.
Asian stock markets mostly fell after the renewed tensions. Hong Kong’s Hang Seng Index dropped more than 1.5%, Seoul fell nearly 1%, and Shanghai slipped 0.3%. Taipei’s main index rose more than 1%, while Tokyo was flat at the midday break.
Read: US-Iran Talks: Trump Warns of More Military Action
The moves followed a stronger global stock market session on Wednesday, when investors focused on gains in artificial intelligence despite conflicting Iran headlines.
South Korean chipmaker SK hynix reached a market capitalisation of $1 trillion, joining regional technology firms Samsung Electronics and TSMC, as well as US chipmaker Micron.