Oil prices climb following US and Iran aggression in the Strait of Hormuz

May 11 ------ Oil prices rose after renewed clashes between the US and Iran in the Strait of Hormuz, a critical global shipping route.

The US said it carried out self-defense strikes after what it called “unprovoked” Iranian attacks on US ships passing through the Gulf, while Iran accused the US of breaking an April ceasefire. Brent crude briefly jumped nearly 3% to around $103 a barrel before easing back to about $100, BBC reports.

Despite the escalation, President Donald Trump insisted the ceasefire was still in place, while Iranian state media claimed the situation had “returned to normal.” Trump described the US response as limited and said ongoing talks with Iran were progressing, though he warned of “pain” if no agreement is reached on preventing Iran from developing nuclear weapons.

Iran, meanwhile, said it had responded to US strikes near its coastline and claimed it inflicted significant damage, while the US denied any of its ships were hit. Traders described the ceasefire as fragile, with markets reacting sharply to each new development.

The conflict has also driven up energy costs beyond crude oil, particularly jet fuel, which has surged roughly 50%. This is feeding into higher operating costs for airlines, with British Airways’ parent company IAG projecting fuel expenses of about €9 billion this year, around €2 billion more than last year, BBC informs.

Source: safety4sea.com