Oil Prices Jump As Iran-US Tensions Stoke Energy Supply Fears

Oil markets ended Monday with gains of more than four per cent, after renewed friction involving Iran, the United States, Israel and Hezbollah stirred fresh concern about possible trouble along major global energy routes.

Brent crude futures closed at US$94.98 per barrel, 4.2 per cent higher. US crude futures ended at US$92.16 per barrel, a rise of 5.5 per cent.

Earlier in the trading day, both benchmark contracts had advanced by more than six per cent before surrendering some of those increases.

The move came after Iran's Tasnim news agency reported that Tehran had halted indirect communications with Washington.