US oil prices jump on supply fears amid expanding U.S.-Israeli war with Iran

Oil Price Surge - Oil prices surged approximately 20% in early trading, reaching their highest levels since July 2022, driven by fears of tighter supply due to the expanding U.S.-Israeli conflict with Iran [1][3] - Brent crude futures increased by as much as $18.35, or 19.8%, to $111.04 per barrel, while U.S. West Texas Intermediate (WTI) crude futures rose by $15.27, or 16.8%, to $106.17 [3] Market Impact - The ongoing conflict could lead to prolonged higher fuel prices for consumers and businesses globally, even if the conflict resolves quickly, due to damaged facilities and disrupted logistics [5] - Saudi Arabia is attempting to increase oil shipments from the Red Sea, but the volumes are insufficient to compensate for the disruptions in the Strait of Hormuz [5] Political Developments - Iran appointed Mojtaba Khamenei as the new Supreme Leader, indicating that hardliners remain in control amid the conflict with the U.S. and Israel [2][7] - Israel's military actions have escalated, targeting Iranian commanders in Beirut, which has resulted in significant casualties [4]