US Iran Attacks Continue: Oil Prices Spike as Conflict Escalates 2026

The US Iran attacks have entered a ninth night, with President Trump ordering new strikes “in honor” of three service members killed in recent days. The escalating conflict is rattling global energy markets and raising fears of a prolonged crisis in the Strait of Hormuz.

US Strikes and Iranian Response

On Sunday, the US military announced a ninth consecutive night of strikes targeting Iranian military positions. The strikes follow the death of a US service member in northern Iraq during a controlled detonation of unexploded ordnance from a downed Iranian drone — the third American fatality in under a week. Iranian Supreme Leader Mojtaba Khamenei warned of “unforgettable lessons” if the US continues its campaign.

President Trump has threatened to hit Iran’s power stations and bridges to compel Tehran to loosen its grip on the Strait of Hormuz, a critical chokepoint for global oil shipments. Last week, the US reimposed a naval blockade on Iranian ports, and the military has already redirected six ships and disabled one since then.

Oil Market Impact

The conflict has sent crude prices soaring. At the opening of Asian trading on Monday, Brent crude climbed 2.72% to $90.50 per barrel. Analysts warn that further disruption to Strait of Hormuz shipping could push prices above $100.

Key Takeaways

• The US has launched nine consecutive nights of strikes against Iran, with more threatened.
• Three US service members have been killed in the past week, including one in Iraq.
• Oil prices surged 2.72% to $90.50 on Monday morning in Asia.
• The Strait of Hormuz remains under threat, potentially disrupting global energy supplies.
• Iran’s leadership has issued strong warnings of retaliation.

Broader Geopolitical Context

The war, which began in February after the assassination of Iran’s former supreme leader in joint US-Israeli strikes, has claimed 17 US service members. President Trump has cited multiple goals, from preventing Iran from acquiring nuclear weapons to pursuing regime change. Over the weekend, US Energy Secretary Chris Wright stated that the mission has shifted toward ensuring oil shipments can pass through the Strait of Hormuz after a ceasefire faltered.

Potential for Wider Conflict

Meanwhile, New York City Mayor Zohran Mamdani has announced he is reviewing whether his administration can arrest Israeli Prime Minister Benjamin Netanyahu if he visits for the UN General Assembly in September, citing a belief that Netanyahu “belongs” in court. This adds another layer of international tension to an already volatile region.

Oil Price Forecast

If the US expands strikes to power stations and bridges, the Strait of Hormuz could become effectively impassable. That would likely drive Brent crude above $100 and strain economies worldwide. Energy utilities and financial markets are bracing for volatility.

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