Oil rises nearly 1% as US launches new strikes against Iran, supply tightens

Oil prices rose about 1% after touching a seven-week low in the prior session, supported by renewed U.S. military strikes against Iran and another large draw in U.S. crude inventories. The geopolitical escalation adds a risk premium to crude, while the inventory draw suggests tighter near-term supply-demand conditions. The move is potentially sector-moving for energy markets and broader risk assets.

Analysis

Oil prices rose about 1% after touching a seven-week low in the prior session, supported by renewed U.S. military strikes against Iran and another large draw in U.S. crude inventories. The geopolitical escalation adds a risk premium to crude, while the inventory draw suggests tighter near-term supply-demand conditions. The move is potentially sector-moving for energy markets and broader risk assets.