Oil rises over 3% as US, Iran resumes military attacks
XLE•Oil prices jump on renewed Middle East strikes
Oil prices rose more than 3.5% on Monday after the U.S. attacked an Iranian island in the Strait of Hormuz and Tehran said it had retaliated, as their conflict extended into its sixth month.
Brent crude futures LCOc1 were up $3.15, or 3.58%, to $91.25 a barrel at 0903 GMT, while U.S. West Texas Intermediate crude CLc1 was up $2.96, or 3.55%, to $86.36.
Sanctions and reserve plans add to the backdrop
U.S. Treasury Secretary Scott Bessent told Reuters on Sunday that the U.S. was likely to impose new secondary sanctions on Iran every week.
Despite Monday's rally, Brent and WTI were still on track to post modest losses for August after falling more than 4% last week, their first weekly declines in three weeks.
Trump also said on Sunday that oil secured under a recently struck deal with Venezuela would be used to replenish the U.S. Strategic Petroleum Reserve, which has fallen to near its lowest level in 44 years.
