Oil prices rose sharply on Thursday after reports suggested Donald Trump was considering fresh military action against Iran to break the deadlock in the Strait of Hormuz.
Brent crude futures for June rose $5.27, or 4.5 per cent, to $123.30 a barrel after gaining 6.1 per cent in the previous session.
Trump earlier shared an image on social media, depicting a map of the Strait of Hormuz with the words, “Strait of Trump” across the vital oil passageway.
The US president urged Tehran to “get smart soon” and sign a deal. “Iran can’t get their act together. They don’t know how to sign a non-nuclear deal. They better get smart soon!” he wrote.
The US military announced on Wednesday it has redirected 42 ships trying to pass its naval blockade of Iranian ports.“There are 41 tankers with 69 million barrels of oil that the Iranian regime can’t sell”, US Central Command said. “That’s an estimated $6 billion-plus from which Iran’s leadership cannot financially benefit.”
