Oil climbs above $91.5 as U.S. Iran conflict raises supply fears

Brent crude futures climbed 1.02 per cent to $91.52 per barrel on Tuesday, according to Mettis Global data, as renewed fighting between Washington and Tehran raised fears of supply disruption. WTI was up $2.16, or 1.42 per cent, at $87.01 per barrel by 10:05 am PST.

Brent had gained 2.7 per cent in the previous session and briefly hit its loftiest point since 25 August, while WTI settled 2.8 per cent higher. The moves came after Sunday's direct strikes between the two nations, their first exchange in a month, and fresh threats from US President Donald Trump of additional action against Iran.

Concerns also cover possible damage to Gulf energy infrastructure and vessel movement through the Strait of Hormuz, which CNBC said is lifting risk premiums on crude. Kpler data showed only five visible vessels a day transiting the strait over the weekend, and Qatar and Oman mediation has made little progress toward reopening the waterway. The UK Maritime Trade Operations agency said a tanker leaving the strait was hit by three projectiles, with neither injuries nor environmental harm reported.