Oil Prices Rise After U.S. Strikes Iranian Launchers, Iran Fires Back at Jordan

Oil prices jumped in early Asian trading on Monday following a U.S. strike on Iranian rocket launchers on Larak Island, sparking a retaliatory missile and drone attack on U.S. bases in Jordan. WTI front‑month futures climbed to $85.46 a barrel, up 2.47%, while Brent front‑month futures rose 2.71% to $90.49.

The U.S. attack, carried out on Sunday, targeted two Iranian rocket launchers on Larak Island within the Strait of Hormuz. A U.S. Central Command spokesperson said the strike was prompted by Iranian Revolutionary Guard Corps (IRGC) forces preparing to launch rockets and sea mines into the strait. CENTCOM described the operation as a “limited, precise action against IRGC minelaying forces posing an imminent threat.”

Earlier this month, President Trump claimed the U.S. had cleared mines from the Strait and warned that any new mines would be destroyed immediately. In response, Iran launched ballistic missiles and drones at U.S. military installations in Jordan. The Jordanian Armed Forces reported that its air defenses intercepted and destroyed eight missiles that entered Jordanian airspace.

The IRGC confirmed it had targeted technical and maintenance infrastructure and fighter aircraft positions at two U.S. bases in Jordan, warning that it would “forcefully respond” to any further U.S. strikes.

The market remains uncertain whether this flare‑up will stay contained or signal a larger disruption to Gulf oil exports. Brent’s return above $90 is notable, yet both benchmarks are still below the highs seen earlier in the conflict. Last week’s decline of over 4% has left the 2% gain this week largely offset by broader market losses.

Traffic through the Strait of Hormuz has stayed well below pre‑war levels, with only about five commodity‑vessel crossings per day over the weekend. UK Maritime Trade Operations warned that a tanker transiting the strait had been struck by an unknown projectile. CENTCOM’s blockade of Iranian ports has redirected 83 commercial vessels, disabled three, and boarded two as of August 30.

The combination of low traffic, ongoing attacks, the U.S. blockade, and renewed Iranian minelaying efforts suggests the geopolitical premium on oil will persist for the foreseeable future, even as the U.S. shifts its focus from military operations to economic pressure.