Oil prices climbed on Tuesday, recovering some of the previous day’s losses, after the United States said it had carried out strikes on missile launch sites in Iran, casting doubt on the prospects of a peace deal.
The strike followed signals from Israel that it planned to intensify its campaign against the Iranian-backed militant group Hezbollah in Lebanon. Iran has said any agreement would need to address both its war with the United States and Israel, as well as the fighting between Israel and Hezbollah, complicating efforts to reach a lasting resolution.
Oil prices move higher.
-
The price of Brent crude, the global benchmark for oil, rose nearly 3 percent to about $96 a barrel.
-
Investors and analysts are focused on the continued disruption to shipping in the Strait of Hormuz, the narrow waterway between Iran and Oman that is a vital trading route for oil and natural gas that normally carries as much as one-fifth of the world’s oil supply.
U.S. stocks set to rise at open
-
Futures on the S&P 500 pointed to a slight increase when stocks resume trading in the United States on Tuesday.
-
Stocks in Asia, where countries import vast quantities of oil and gas, were mixed. Stock markets in Japan and mainland China were down, while South Korea’s benchmark KOSPI rose about 3 percent.
-
In Europe, stocks were subdued. The Stoxx 600, a broad index that tracks the region’s largest companies, fell less than 1 percent, while the FTSE 100 in Britain was up about 1 percent.
Gas prices tick lower.
-
Gas prices edged down 1 cent on Tuesday to a national average of $4.50 a gallon, according to the AAA motor club. The cost for drivers has increased 51 percent since the war began.
-
Gas prices don’t move in lock step with crude, usually trailing increases or drops by a few days.
-
The average price of diesel fell 2 cents to $5.58, on Tuesday up 48 percent since the start of the war.
The post Global Oil Price Rises After U.S. Strikes in Iran Cloud Peace Deal appeared first on New York Times.
