Oil prices rise as conflict in Iran disrupts global supply routes

Oil prices have climbed above $100 a barrel and US diesel prices have topped $5 per gallon for the first time since 2022. This increase is due to attacks on key infrastructure in Iran that have halted some oil supply and are squeezing global markets.

Analysts point to risks for major trade chokepoints, particularly the Strait of Hormuz in the Persian Gulf. There are concerns the conflict could trigger energy crises in Europe and Asia, though Europe's growing renewable energy capacity may help soften the impact of the price shock.