Oil prices jump over 6% as Iran threatens to block Strait of Hormuz amid Middle East tensions

Oil prices surged sharply on Monday after Iran threatened to completely block the Strait of Hormuz, a critical passage for about 20% of the world's oil supply. West Texas Intermediate crude rose 7% to around $94 per barrel, while Brent crude climbed 6% to about $97 per barrel. The escalation follows renewed strikes between the US and Iran, reversing last week's price declines driven by hopes for a peace deal. An ExxonMobil executive warned that global oil inventories are nearing historically low levels, which could push prices as high as $160 per barrel if supply disruptions persist. The White House expects prices to fall once the conflict ends, but investors remain concerned about the risk of prolonged supply shortages tightening the market further.