Oil jumps over 3% after Iran attacks Qatar and UAE
Oil prices shot up over 3% on Monday after Iran expanded its military strikes to Qatar and the UAE, following US attacks.
With worries about supply disruptions in the Gulf, Brent crude hit $78.47 per barrel, and US WTI climbed to $73.77.
The Strait of Hormuz, a key route for nearly 20% of global oil, has seen a sharp drop in shipping activity, raising concerns for energy markets worldwide.
Hormuz traffic drops to 6 ships
Only six ships passed through the strait on Sunday, marking the lowest traffic in five weeks.
Iran says it closed the waterway after hitting a vessel that went off course, which could mean longer supply delays ahead.
IEA finds 9.4 million bpd shortfall
Even though global oil production rose in June, it's still 9.4 million barrels per day below prewar levels, according to the International Energy Agency (IEA).
The ongoing conflict is putting a recent U.S.-Iran agreement at risk and keeping energy markets uncertain.