Oil jumps more than 1% after US attack on Iran's Larak island
XLE•Strikes and retaliation raise escalation fears
U.S. forces struck two launchers on Iran's Larak island in the Hormuz strait on Sunday, the first known American strikes on the Gulf nation since late July.
In response, Iran attacked two U.S. air bases in Jordan, Iranian media reported on Monday citing Iran's Revolutionary Guards.
"Looks like we are in another escalation phase. How long that lasts is impossible to determine. Could be days, could be weeks," IG market analyst Tony Sycamore said.
Technical charts showed that if the conflict escalated and pushed WTI above resistance at $85.80 to $85.90 a barrel, it would open the way for further gains, initially to last week's $87.69 high followed by July's $93.50 high, Sycamore said.
Trump says Venezuelan oil will replenish the SPR
U.S. President Donald Trump said on Sunday that oil from a recently struck deal with Venezuela will be used to replenish the U.S. Strategic Petroleum Reserve which has dropped near its lowest level in 44 years.
