Hyderabad, may 18: Global crude oil prices surged sharply on Monday after escalating tensions between the United States and Iran intensified fears of supply disruptions in the Middle East.
International benchmark Brent crude climbed 2.37 per cent, gaining $2.60 to reach $111.86 per barrel.
US West Texas Intermediate crude also recorded a major rise of 3.11 per cent, increasing by $3.28 to trade at $108.70 per barrel.
In India, crude oil futures for June delivery on the Multi Commodity Exchange rose by around Rs 300 to Rs 9,978 per barrel.
The latest rally came after reports of fresh drone attacks targeting the United Arab Emirates and Saudi Arabia, further worsening geopolitical tensions in the Gulf region.
Oil prices had already gained more than seven per cent last week as concerns grew over instability around the Strait of Hormuz, one of the world’s most important oil transit routes.
Nearly one fifth of global crude oil and liquefied natural gas shipments pass through the Strait of Hormuz, making any disruption a major concern for energy markets worldwide.
Reports said UAE authorities were investigating an attack linked to the Barakah nuclear power plant and warned of possible responses to what officials described as terrorist attacks.
Meanwhile, US President Donald Trump signalled a tougher stance on Iran and stated that Tehran should not be allowed to develop nuclear weapons.
Trump also stressed the need to keep the Strait of Hormuz open for global energy supplies.
In a post on Truth Social, Trump warned Iran that “the clock is ticking,” further increasing concerns over a wider regional conflict.
The rising tensions also impacted global equity markets. Japan’s Nikkei index and Hong Kong’s Hang Seng declined by around one per cent, while South Korea’s KOSPI posted gains during Monday trading.
Market analysts said investors remain cautious as geopolitical uncertainty continues to influence oil prices and global financial markets.
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