Oil prices edged closer to $100 a barrel after an escalation in tit-for-tat strikes between the US and Iran. US forces struck five Iranian tankers on Tuesday, sinking one, in response to Tehran twice targeting an American warship, according to US Central Command (Centcom).
Four Iranian oil tankers in the Gulf of Oman linked to Iran's Revolutionary Guards Corps (IRGC) were targeted, alongside another near Kharg Island, a major oil terminal off Iran's coast. Tehran responded by launching missiles at a US base in Jordan, most of which were reportedly shot down. Iran also stated it attacked two US vessels and eight oil tankers in the Strait of Hormuz.
Benchmark Brent crude was up by 1.5% at $99.35 a barrel in Asia trading, while US-traded oil was 1.3% higher at $94.23. US Secretary of State Marco Rubio indicated that Iran would continue to lose tankers for attempting to hit US naval ships.