Global Oil Prices Surge Amid Renewed Middle East Tensions

New York. Global crude oil prices rose on Thursday as concerns mount over the fragile ceasefire between the United States and Iran. International crude oil prices saw a significant increase during Thursday morning trading in Asian markets.

Tensions have reignited after Israel launched intense attacks in Lebanon despite the conditional two-week ceasefire. In response, Iran has warned of a 'regrettable retaliation' if the attacks continue.

Previously, oil prices had declined following the announcement of the ceasefire, driven by hopes that the reopening of the vital Strait of Hormuz would increase supply and stabilize costs. The Strait of Hormuz is considered a key hub for global energy supply.

Approximately 20 percent of the world's crude oil passes through this route. However, traffic was disrupted after Iran threatened to target vessels using the route in retaliation for US-Israeli airstrikes.

The international benchmark, Brent crude, rose 2.2 percent to $96.70 on Thursday, while the US benchmark, West Texas Intermediate, climbed 2.8 percent to trade at $96.90 per barrel.

Analysts suggest that uncertainty regarding oil supply and shipping remains due to the 'fragile' nature of US-Iran relations. Energy supply, particularly shipments through the Strait of Hormuz, is expected to remain the primary market concern in the coming days.

Meanwhile, some oil and gas infrastructure have been damaged, and experts warn that full repairs will take time, potentially keeping prices high in the long term.

US President Donald Trump had announced the ceasefire with a set deadline, warning that if an agreement is not reached, 'the entire civilization could be destroyed.'

A key condition of the ceasefire is the safe passage of vessels through the Strait of Hormuz. However, current conditions indicate that the energy market will remain volatile.