U.S. crude futures jumped more than 20% Monday, reaching their highest point since July 2022. The escalating conflict between the U.S. and Iran has ignited concerns over reduced oil supply and potential disruptions to shipments via the Strait of Hormuz.
West Texas Intermediate (WTI) crude futures saw significant gains, trading up $14.83, or 16.31%, at $105.73 per barrel. Earlier in the session, prices surged as much as 22.4% to $111.24.
The benchmark contract experienced a 12% climb on Friday, marking a 36% increase over the past week.
Tehran appointed Mojtaba Khamenei to succeed his father, Ali Khamenei, as Supreme Leader, indicating hardline control amidst the ongoing conflict with the U.S. and Israel.
Israel's military reported striking Iranian commanders in Beirut early Sunday, broadening the campaign's reach after days of strikes resulted in nearly 400 casualties.
The conflict could lead to sustained higher fuel prices globally as suppliers navigate damaged infrastructure, logistical challenges, and increased shipping risks.