Oil shoots up and evaporates Friday’s collapse amid escalation of tensions between the US and Iran in Ormuz
Oil prices rose sharply on Monday amid escalating tensions between the US and Iran after attacks on commercial ships in the strategic Strait of Ormuz.
The US Navy opened fire on an Iranian container ship in the Gulf of Oman on Sunday, which was later taken into custody by US forces, according to President Donald Trump.
The seizure of the ship came after Iran attacked an oil tanker on Saturday in the Strait of Ormuz. Iranian Revolutionary Guard boats fired at the ship, while a container ship was hit by a projectile of unknown origin, according to the UK Maritime Operations Center.
The prospects for dialogue also remain uncertain. Trump said that both nations would hold talks in Islamabad on Monday, but Iran said it would not attend due to the US naval blockade, among other factors, according to the state news agency IRNA.
The escalation contrasts with the scenario at the end of last week, when both parties seemed to be approaching an agreement. On Friday, oil prices had fallen after Iran declared the Strait of Ormuz completely open to commercial traffic after a ceasefire mediated by the US in Lebanon.
