Oil prices jump 4pc on supply fears

NEW YORK: Oil prices jumped about 4 per cent to a one-week high on Tuesday as a resumption in fighting between the US and Iran renewed fears of supply disruptions from the Middle East.

Brent futures rose $3.44, or 3.8pc, to $93.93 a barrel at 1:10 p.m. EDT (1710 GMT), while US West Texas Intermediate crude rose $3.72, or 4.3pc, to $89.48.

That would mark the highest close for Brent since Aug 20 and for WTI since July 23.

The US launched new air strikes on Iranian targets on Tuesday, quashing hopes that an exchange of fire last weekend might not presage a wider renewal of hostilities.

Oil prices had already risen after that first exchange of direct attacks since July and after reports of two tankers being hit leaving the Strait of Hormuz, the global oil supply waterway that Iran has effectively closed to shipping.

Tehran remained defiant, warning that........

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