In Asian trading, Brent crude futures for September delivery increased by 3.42% to $86.97 per barrel, while U.S. West Texas Intermediate futures for June rose 3.58% to $82.09 per barrel. The U.S. Central Command reported that the Islamic Revolutionary Guard Corps launched multiple ballistic missiles targeting U.S. forces in the Middle East.
This escalation follows a series of drone attacks attributed to Iran-aligned terrorists, prompting U.S. and Saudi forces to retaliate against terrorist logistics and weapons sites in eastern Iraq. Additionally, the U.K. Maritime Trade Operations Centre noted suspicious activity in the Red Sea, including an explosion heard by a tanker, which raises further concerns about maritime security.
Houthi attacks on Saudi oil facilities have also contributed to fears of supply disruptions. The increase in oil prices is further influenced by a hawkish tone from Federal Reserve Chairman Kevin Warsh during his first FOMC meeting, with traders uncertain about the central bank's upcoming decisions