New Delhi, April 9 (IANS). There was a sharp rise in global crude oil prices on Thursday. Concerns have increased in the market due to the fear of oil supply from West Asia not being fully restored and doubts over the two-week ceasefire between America and Iran, due to which there is a possibility of continued restrictions on the important sea route, the Strait of Hormuz.
International benchmark Brent crude futures rose 3.31 percent to $97.89 a barrel in the morning. Whereas WTI crude jumped 4.2 percent and was trading at $ 98.38 per barrel.
The previous day, on Wednesday, crude oil prices had fallen by 20 percent and fell below $ 100 per barrel, as there were expectations that the ceasefire between the US and Iran would reduce tensions and the Strait of Hormuz would reopen.
The Strait of Hormuz, from where oil from countries like Iraq, Saudi Arabia, Kuwait and Qatar goes around the world, remains the center of this entire dispute.
According to reports, Israeli attacks on Hezbollah in Lebanon have further increased tensions. There have also been reports of missile and drone attacks in Kuwait, Bahrain and UAE.
It is being told that after these incidents, Iran has once again closed the Strait of Hormuz.
Shipping companies say that they are hesitant in sending ships through this route until the terms of the ceasefire are completely clear.
Iran has issued maps to show safe passage to ships and has worked with its Revolutionary Guards to determine safe routes.
Meanwhile, the region’s oil infrastructure also remains at risk. According to reports, after the ceasefire, Iran attacked some targets in neighboring countries, including a pipeline in Saudi Arabia.
Meanwhile, Donald Trump has said that American ships, aircraft and military forces will be deployed around Iran.
Talking about the stock market, after the tremendous rise of the previous day, there was a decline again in the domestic market. Meanwhile, till the time of writing the news, Sensex has registered a decline of 0.72 percent or more than 550 points and was seen trading near 77,000, while Nifty50 was seen trading at the level of 23,800 with a fall of more than 140 points or 0.50 percent.
Asian markets also showed weakness, with major indices like Nikkei, Kospi and Hang Seng falling up to 1 per cent.
–IANS
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