Oil surges 9pc on choked supplies

NEW YORK: Oil prices settled up about nine per cent on Thursday, at their highest in nearly four years, as Iran stepped up attacks on oil and transport facilities across the Middle East, and the country’s supreme leader vowed to keep the vital Strait of Hormuz shut.

Brent futures settled at $100.46 a barrel, up $8.48, or 9.2pc, after touching a session high of $101.60. US West Texas Intermediate crude settled at $95.70, up $8.48 or 9.7pc. Both contracts settled at their highest since August 2022.

US natural gas futures also edged up to a fresh four-week high on Thursday, due to the Iran war and as cooler weather boosted heating demand more than expected.

“The market is seriously unbalanced and that will continue until the Strait is reopened and upstream and downstream operations return to normal. It will not happen quickly,” said Jim Burkhard, vice president and global head of Crude Oil Research at S&P Global Energy.

US Energy Secretary Chris Wright told CNBC on Thursday that the US Navy could not escort ships through the Strait of Hormuz now but it was “quite likely” that could happen by the end of the month. Global oil........

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