Oil prices surged more than 1.5% in Asian trade on Thursday, extending a three-day rally amid growing concerns that the United States may launch a military strike on Iran, a key oil producer in the Middle East.
Brent crude futures rose 99 cents, or 1.5%, to $69.39 a barrel by 0436 GMT, while U.S. West Texas Intermediate (WTI) crude climbed $1.06, or 1.7%, to $64.27 a barrel. Both benchmarks have gained around 5% since Monday, marking their highest levels since September 29.
The rally comes as U.S. President Donald Trump has intensified pressure on Iran to halt its nuclear program, issuing threats of military action. A U.S. naval group has also arrived in the region, further stoking fears of a potential conflict that could disrupt oil supply.
Iran, the fourth-largest producer in OPEC, produces 3.2 million barrels of oil per day. Reuters reported that Trump is considering options to target Iranian security forces and leaders to inspire domestic unrest, potentially destabilizing the current regime.
Analysts warn that any military escalation could severely impact global oil markets, fueling further volatility in prices.
