Brief
Oil prices surge 5% as Iranian tanker attacks tighten Hormuz supply
Fresh Iranian attacks on tankers in the Strait of Hormuz lifted Brent crude 4.3% to $104.54 a barrel and sent U.S. Treasury yields to a 24‑year high.
By Felo News Desk · Published
Oil markets rallied on Thursday after fresh Iranian attacks on commercial tankers in the Strait of Hormuz disrupted traffic, sending Brent crude futures up 4.3% to $104.54 a barrel and West Texas Intermediate to $92.09, according to the New York Post.
By about 9:40 a.m. ET, the price jump was on track for the highest closing level in weeks. The attacks coincided with a sharp rise in the U.S. 10‑year Treasury yield, which climbed to 5.294%, reversing the previous day's decline and extending a trend of higher yields for ten of the past twelve trading days.
Equity markets reacted negatively: the Dow Jones Industrial Average fell 95 points (0.2%), while the S&P 500 and Nasdaq slipped 0.4% and 0.6% respectively. National average gasoline prices remain above $4 a gallon, and diesel prices have risen above $6 a gallon, adding pressure to consumers.
Data from analytics firm Kpler showed that only seven commodity vessels passed through the strait on Tuesday, the lowest total since July 23, and crude flows fell 27% from a wartime high the week before, to about 10.1 million barrels a day – roughly 74% of pre‑war levels.
Reports also noted that U.S. Gulf‑coast producers cut output because of an intensifying hurricane, further tightening supply. The Atlantic reported that President Trump is weighing a renewed large‑scale operation against Iran ahead of the midterm elections, a move that could reignite inflation concerns.
Key facts
- Brent crude rose 4.3% to $104.54 a barrel (nypost.com)
- U.S. 10‑year Treasury yield reached 5.294% (nypost.com)
- Only seven commodity vessels crossed the Strait of Hormuz on Tuesday, the lowest since July 23 (nypost.com)
- The Dow fell 95 points (0.2%) while the S&P 500 and Nasdaq slipped 0.4% and 0.6% (nypost.com)
Sources
- [1] nypost.com — originally reported as “Oil prices jump 5%, pushing Treasury yields higher and stocks lower as Iranian attacks disrupt tanker traffic”
