Andy Critchlow, EMEA head of news at S&P Global Commodity Insights, discusses the outlook for oil markets after U.S. strikes on Iranian nuclear facilities.
Oil prices shot higher in early trading on Monday after the US joined Israel's attacks on Iran, with 'bunker buster' bombs dropped on three nuclear facilities over the weekend. Brent crude was up 1% at $78 a barrel, having momentarily topped $81 in the early hours, which was the highest since January.
WTI crude jumps 2% to $75.90 as tensions in the Middle East raise fears of disrupted oil flows and volatility in natural gas and energy markets.
Clayton Seigle from CSIS says oil traders want to see the volume and duration disruption of oil supply before pricing in more risk premium in crude.
Outlook for DAX hinges on Iran conflict, PMI data, and ECB guidance. Can soft price trends fuel a sustained rally?
Oil markets are entering a new phase of uncertainty after the U.S. entered the war between Iran and Israel, said industry watchers, predicting oil at $100 a barrel if the Strait of Hormuz is closed. MST Marquee's Saul Kavonic portends an "oil price shock" similar to levels seen in 2022 following Russia's invasion of Ukraine.
Hang Seng Index falls as Iran-Israel tensions escalate and oil prices surge on Strait of Hormuz closure fears. Will 23,000 hold?
Oil prices jumped on Monday to their highest since January as Washington's weekend move to join Israel in attacking Iran's nuclear facilities stoked supply worries.
Helima Croft, RBC Capital Markets global head of commodity strategy, joins CNBC's 'Special Report' to discuss the latest moves in the oil and energy markets following Washington's surprise attack against Iranian nuclear sites.
Bob McNally, Rapidan Energy Group founder and president, says it would be "suicidal" for Iran to completely close the Strait of Hormuz, but he says the country can disrupt the flow of oil in other ways. He is on "Balance of Power.
Oil markets are reacting after Washington's surprise attack against Iranian nuclear sites further escalated the Iran-Israel conflict, raising questions over the crude supply outlook. Iran produced roughly 3.3 million barrels per day in May, according to an OPEC report citing independent estimates.
The Strait of Hormuz isn't the only concern when it comes to flows of crude and other energy products out of the Middle East.