Global oil prices climbed above $100 a barrel Wednesday as renewed fighting between the US and Iran heightened concerns over energy supplies and shipping, pushing crude to its highest levels in months.
Front-month Brent crude futures rose $3.04, or 3.1%, to $100.95 a barrel as of 1:39 p.m. EDT (1739 GMT) on September 9, after reaching a session high of $101.58. The international benchmark crossed $100 for the first time since July.
US West Texas Intermediate crude gained $2.75, or 3%, to $95.78 a barrel, its highest level since early June. Average US gasoline prices also rose to $4.22 a gallon.
The increases followed a new round of attacks involving the US and Iran. The US military destroyed five Iranian tankers on Tuesday. Iran responded Wednesday with strikes on regional shipping and a US base in Jordan.
Oil benchmarks had generally remained well below the psychologically significant $100-per-barrel level since late May.
The latest increase still leaves crude below earlier highs of nearly $120 a barrel reached during the conflict. Continued shipping blockades and concerns about supplies, however, have fueled worries about renewed inflationary pressures as the fighting continues.
Higher energy prices could also become an issue in US politics ahead of the November midterm elections, creating a potential political risk for the Republican Party as Americans face higher prices at the pump.
