The United States will begin a maritime blockade of all Iranian ports starting Monday at 10 a.m. ET. This action follows the collapse of high-stakes peace talks in Pakistan over the weekend.
U.S. Central Command specified the blockade applies to all vessels entering or departing Iranian coastal areas. The military order will not impede ships transiting the Strait of Hormuz to other destinations.
Brent crude futures jumped nearly 8% following the announcement. The price of Brent crude exceeded $102 a barrel. West Texas Intermediate crude surged more than 8.6%. WTI prices reached nearly $105 a barrel. Analysts warn that a prolonged blockade could push energy prices significantly higher.