Oil prices jump toward $100, following U.S.-Iran clashes in Strait of Hormuz

Oil prices jumped on May 8 following a direct exchange of fire between U.S. and Iranian forces in the Strait of Hormuz.

West Texas Intermediate (WTI) crude rose toward $98 per barrel.

Brent crude, the global benchmark, neared the $100 mark.

U.S. Central Command reported that guided-missile destroyers intercepted Iranian attacks and responded with self-defense strikes.

The Strait of Hormuz has remained effectively closed during the current 10-week conflict.

The International Energy Agency reports a resulting loss of 14 million barrels of crude oil per day.

Renewed hostilities jeopardize the potential for a diplomatic resolution to the conflict.

Traders anticipate a prolonged supply shock that could sustain elevated energy prices.

Market volatility reflects concerns regarding the impact of high energy costs on global inflation.