Oil Prices Spike as Iran Accuses US of Ceasefire Violation
Iran vows to respond after US warship fires on Iranian cargo ship, sparking surge in oil prices amid ongoing tensions in the Strait of Hormuz.
Tensions in the Middle East escalated over the weekend as Iran accused the United States of breaking a ceasefire agreement in place since early April. The development has led to a sharp spike in global oil prices, with America's benchmark West Texas Intermediate (WTI) crude surging 7.5% to $90.17 per barrel, while international oil benchmark Brent North Sea crude gained 6.5% to $96.27 per barrel.
According to reports, the incident occurred when the USS Spruance, a US Navy destroyer, allegedly fired on an Iranian-flagged cargo ship that was said to be running a blockade in the Strait of Hormuz, a critical global oil chokepoint. Iran has vowed to respond to the US action, further stoking fears of potential conflict in the region.
Source: The Guardian
