Brent spikes as Iran launches direct attack on Israel
Brent’s price moved higher following reports that Iran launched over 180 ballistic missiles on Israel on Tuesday.
PHOTO: Flags of Israel and Iran. Getty Images
In a significant escalation of tensions, the Israel Defense Forces (IDF) confirmed that Tehran is now directly involved in the Middle Eastern conflict. “All Israeli civilians are in bomb shelters as rockets from Iran are fired at Israel,” the IDF stated on its official social media platform X (formerly Twitter).
The latest escalation comes days after Israel bombed Iran-aligned Hezbollah armed group’s headquarters in Beirut, which killed senior leader Hassan Nasrallah and other prominent leaders of the group.
“[Brent] crude futures were continuing to surge… due to a fresh bout of Mideast [Middle East] geopolitical risk premium,” VANDA Insights’ founder and analyst Vandana Hari said.
The airstrike was an “apparent retaliation” for Israel’s ground offensive in southern Lebanon, Hari added.
The IDF has confirmed that it will respond to Iran’s overnight airstrike. “Iran’s attack is a severe and dangerous escalation. There will be consequences,” IDF spokesperson Daniel Hagari said.
The news has supported oil prices as Iran’s involvement in the conflict could disrupt oil production in the second-largest OPEC producer, according to market analysts.
“The direct involvement of Iran, an OPEC member, raises the prospect of disruptions to oil supplies,” from the wider region in the Middle East, ANZ Bank’s senior commodity strategist Daniel Hynes remarked.
By Aparupa Mazumder
Please get in touch with comments or additional info to news@engine.online
