Oil up nearly 1% as US and Iran trade fresh strikes

Sept. 2 (Reuters) - Oil prices rose nearly 1% in early trade on Wednesday, extending the previous session's surge, as concerns over supply disruption intensified after the U.S. and Iran exchanged strikes overnight, dimming hopes for a quick easing of tensions in the Middle East.

Brent crude futures LCOc1 rose 87 cents, or 0.92%, to $95.52 a barrel by 0008 GMT, while U.S. West Texas Intermediate crude futures CLc1 climbed 80 cents, or 0.89%, to $91.02. Both contracts soared more than $4 on Tuesday, marking Brent's largest gain since July 24 and WTI's largest since July 23.

The United States said it had launched a series of airstrikes against targets in Iran overnight, prompting an Iranian response, in the most serious escalation of the conflict between the two countries in weeks.

"The strikes follow recent attempted attacks by the IRGC against commercial shipping in the Strait of Hormuz and against American service members deployed to the region," U.S. Central Command said in a post on X, referring to Iran's Islamic Revolutionary Guard Corps (IRGC).