The renewed fighting has also disrupted commercial shipping and renewed uncertainty across global energy markets. According to The Independent, Brent crude rose above $85 per barrel while West Texas Intermediate also advanced, reflecting growing concern over risks to oil supply and maritime traffic.
Military Escalation and Blockade Intensify Pressure on Energy Markets
Brent crude gained 1.2% to $85.77 per barrel on Wednesday, while U.S. benchmark West Texas Intermediate rose 1% to $80.14 per barrel, according to The Independent. The increase followed another round of U.S. military operations targeting Iranian missile and drone facilities, naval assets, and coastal defense systems.
The U.S. Central Command said its forces struck multiple military targets overnight as Washington reinstated its blockade of Iranian ports near the Strait of Hormuz. Admiral Brad Cooper, who leads Central Command, said Iran had launched dozens of missiles and drones at neighboring Gulf Arab countries.
Iran’s Revolutionary Guard responded by threatening regional energy exports. It said that “the export of oil and gas from the region will be either for everyone or for no one,” according to The Independent.
President Donald Trump also reversed a proposal announced earlier in the week to impose a 20% fee on cargo transiting the Strait of Hormuz. According to The New York Times, he later said the planned charges would instead be replaced with trade and investment agreements involving Gulf states, although several aspects of the revised approach remained unclear.
Shipping Disruptions and Regional Attacks Add to Market Volatility
The Strait of Hormuz has remained at the center of the conflict because, before hostilities began earlier this year, roughly one-fifth of the world’s oil supply moved through the waterway. Shipping activity had partially recovered after a memorandum of understanding signed on June 17, but recent military action has again reduced vessel traffic.
According to The New York Times, only 10 vessels crossed the strait on Monday, compared with more than 130 daily crossings before the conflict. Maritime organizations said attacks on commercial ships have discouraged shipowners from sending vessels through the area.
The security situation worsened after Iranian attacks on commercial shipping. The United Arab Emirates said two of its oil tankers were struck by Iranian cruise missiles while sailing through Omani territorial waters.
Analysts also warned that reduced tanker traffic has contributed to higher oil prices. Andy Lipow, president of Lipow Oil Associates, told The Hill that repeated attacks on tankers increase the risk for commercial shipping and are prompting the market to react with higher crude prices.
Financial markets also reflected the renewed tensions. According to The Independent, the S&P 500 fell 0.7%, the Dow Jones Industrial Average slipped 0.4%, and the Nasdaq Composite declined 1.4% on Tuesday as investors weighed the impact of continued military escalation and uncertainty surrounding energy supplies moving through the Strait of Hormuz.
