Oil Prices Surge as Trump Calls for Tehran Evacuation Amid Tensions

Oil prices rose sharply on Tuesday after US President Donald Trump called for the evacuation of Tehran, raising fears of a wider conflict in the Middle East. The prices jumped initially but later eased as the market stayed cautious about any major disruption in oil supplies. Brent crude oil went up by as much as 2.2 per cent before falling slightly to trade just above $73 a barrel. West Texas Intermediate (WTI) also rose and hovered near $72. This comes after oil prices had dropped on Monday when there were signs that Iran was trying to calm tensions. However, Israel has continued its military strikes, which began last Friday, targeting key nuclear sites in Iran. The oil market is closely watching the Strait of Hormuz — a narrow waterway that plays a crucial role in global oil trade. Around 20 per cent of the world’s daily oil supply passes through this route. Maritime security company Ambrey reported a possible incident near the area on Tuesday, although details were not clear. So far, the impact of the conflict has mostly been seen in the shipping sector. According to the UK Navy, ships passing through the Strait of Hormuz and the Persian Gulf are facing issues with navigation signals. Many shipping companies are now hesitant to take bookings in the region due to safety concerns. However, Iran’s infrastructure for exporting oil has not been damaged yet. Even with some gains being reversed, oil prices remain higher than they were before the current conflict began. (IANS)

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