US-Iran Conflict and Red Sea Risks Push Oil Prices to Five-Week High

CCTV reporters have learned that on July 21 local time, international oil prices rose about 2% to their highest level in five weeks, driven by the escalation of mutual attacks between the United States and Iran and threats from Yemen's Houthi forces to blockade Saudi Arabian maritime shipping.

Brent crude futures climbed $1.79, or 2%, to settle at $91.01 per barrel, while U.S. West Texas Intermediate (WTI) crude futures rose $1.68, or 2%, to close at $84.91 per barrel. Brent hit its highest closing price since June 10, while WTI reached its highest since June 11.

Markets are worried about further disruptions to energy transport in the Middle East. U.S. forces carried out overnight strikes on targets in southern and western Iran, while Iran attacked U.S. facilities in Bahrain, Kuwait and Jordan, and at least one oil tanker was attacked in the Strait of Hormuz. On the 20th, the Houthi forces announced a maritime blockade of Saudi Arabia, expanding the conflict risk from the Gulf region further to the Red Sea shipping route.