00:00 Oil prices surged by more than 4% on Friday following Israel's missile strikes on Iran,
00:14 amplifying concerns of heightened tensions in the West Asia region.
00:19 The global benchmark Brent crude soared to $90.54 per barrel, while US West Texas Intermediate
00:27 crude futures spiked by 4.06% to $86.09.
00:34 With apprehensions mounting over a potential escalation of the Gaza conflict spreading
00:38 beyond Israel's borders, there are growing fears of a significant impact on the global
00:43 oil supply.
00:44 Analysts believe that oil prices could cross $100 or even $130 if a wider war blocks the
00:51 Strait of Hormuz.
00:53 The Strait is at the heart of West Asia's supply route and accounts for a fifth of the
00:58 world's oil trade.
00:59 Oil prices have risen by about 25% since the October 7 Hormuz attack on Israeli civilians.
01:05 The risk premium has been on a downward path on the hopes that a wider conflict would be
01:10 averted.
01:11 But Israel's Friday strikes could spike investor worries about oil prices and its impact on
01:16 the global supply.
01:17 The existing production cut by oil cartel OPEC Plus would make matters worse for India,
01:22 which relies on imports to quench its growing oil needs.
01:26 Israeli missiles targeted a site in Iran in response to recent drone and missile attacks
01:30 allegedly carried out by Iran.
01:32 These attacks were believed to be in retaliation for a suspected Israeli strike on Iran's embassy
01:37 in Syria.
01:38 Early Friday, commercial flights began diverting their routes over western Iran, although no
01:42 official explanation was provided.
01:44 This coincided with reports from an Iranian semi-official news agency citing explosions
01:49 heard in the city of Isfahan.
01:52 State television also acknowledged the presence of loud noises.
01:56 Israel had previously declared its intent to retaliate against Iran's missile and drone
01:59 attack on April 30.
02:01 [music]
Comments