Oil Prices Rise Amidst US-Iran Tensions

Kathmandu. Crude oil prices have further increased in the international market on Monday as efforts to end the US-Israeli war on Iran were blocked. The price of oil has increased following an attack on a nuclear power plant in the United Arab Emirates (UAE) and expectations that US President Donald Trump will discuss military options on Iran. According to the latest data, the price of Brent crude has increased by 1.44 dollars or 1.32 percent to 110.70 dollars per barrel, which had reached its highest point since May 5 in the previous session. Similarly, the price of American West Texas Intermediate (WTI) has increased by 1.84 dollars or 1.75 percent to 107.26 dollars per barrel. This price has also reached its highest level since May 4. Both of these agreements had increased by more than 7 percent last week as hopes for a peace agreement to stop the series of attacks and seizures on ships around the Strait of Hormuz weakened. Last week's talks between President Trump and Chinese President Xi Jinping ended without conclusion, with no indication from China, the world's largest oil importer, of cooperation in resolving this conflict. Drone attacks in the UAE and Saudi Arabia, as well as reactions from the US and Iran, have increased concerns about further escalation of the conflict. Emirates officials stated that an investigation is underway regarding the source of the attack on the Barakah nuclear power plant and that the UAE has full authority to respond to such 'terrorist attacks'. Saudi Arabia, which destroyed three drones entering Iraqi airspace, has warned that it will take necessary operational measures to respond to any attempt to violate its sovereignty and security. Meanwhile, according to an Axios report, President Trump is expected to meet with top national security advisors on Tuesday to discuss options for military action regarding Iran.