Oil prices rose as the US, Iran trade fire in the Strait of Hormuz | Oil and Gas News

Brent crude is rising amid tensions in the troubled waterway.

Oil prices rose after the tensions between the United States and Iran in the Strait of Hormuz tried to stop them for a long time.

Brent crude futures rose as much as 7.5 percent in choppy trading on Thursday, before easing as Asian markets opened on Friday morning.

The international benchmark stood at $101.12 a barrel as of 03:00 GMT, down from the day’s high of $103.70.

The recent rise came after the US and Iran exchanged fire over a difficult issue, the access to one-fifth of the world’s oil and natural gas, despite the agreement announced between the parties on April 7.

The U.S. Central Command (CENTCOM) said it had launched strikes against Iran after three U.S. Navy guided-missile attacks on Iranian missiles, drones and small boats in the river.

Iran’s Khatam al-Anbiya Central Committee accused the United States of violating the agreement by attacking an Iranian oil tanker and another vessel near the river.

Iran’s military headquarters also accused the US of targeting civilian areas, including Qeshm Island.

US President Donald Trump on Thursday appeared to play down the tensions, saying the ceasefire was still in place, while Iran’s Press TV said the situation had “returned to normal”.

Shipments through the route have been virtually halted since late February due to Iran’s threat to large oil tankers that usually carry the world’s most energy.

Brent prices are up nearly 40 percent from pre-war levels amid a daily decline of 14.5 million barrels.

Asian markets opened on Friday amid heavy volatility, with Japan’s benchmark Nikkei 225, South Korea’s KOSPI and Hong Kong’s Hang Seng Index each falling more than 1 percent.

On Wall Street, the benchmark S&P 500 was down about 0.4% overnight after hitting a record high the day before.