WASHINGTON (Kashmir English): Oil prices have risen by nearly 9 percent in global markets amid heightened tensions between the US and Iran.
According to media reports, the price of Brent crude oil in global markets has reached $82.90 per barrel, up 9.1 percent.
The price of WTI crude oil has also increased by 9.1 percent to $77.87 per barrel.
This increase came after US President Donald Trump announced the re-imposition of a US naval blockade on Iranian ports, while the two countries continued to exchange attacks.
According to experts, this significant increase in prices was due to the growing tension between the US and Iran over the control of the Strait of Hormuz, as this waterway is considered very important for the delivery of crude oil around the world.
Trump announces resumption of naval blockade of Hormuz
President Donald Trump on Monday announced the resumption of the US naval blockade of the Strait of Hormuz and a 20 per cent cargo reimbursement on ships passing through the key passage.
“The Hormuz Strait is open, and will remain open, with or without Iran,” Trump writes on Truth Social.
“We are reinstating the Iranian blockade, so named because it is only stopping Iran’s ships or customers from entering or leaving. All other countries will have fair and open use of the Strait,” he added.
Trump further said the US will be, from this point forward, known as “the guardian of the Hormuz Strait”.
“As a matter of fairness, it will be reimbursed, at the rate of 20 per cent on all cargo shipped, for any costs necessary to do the job of providing safety and security to this very volatile section of the world,” he stated.
“The process and formation will begin immediately,” he concluded.
