Oil Prices Surge on Fears of War Expansion in Middle East; U.S. Emergency Reserves at 43-Year Low

International oil prices have surged amid signs of escalating conflict in the Middle East. The price of Brent crude, the international benchmark, rose to $92.50 per barrel. The increase was driven by indications that China is selling missiles to Iran and the U.S. resumption of large-scale airstrikes on Iran, raising fears of a widening war in the region.

The U.S. Central Command (CENTCOM) announced on the 29th (local time) via X that U.S. forces completed a large-scale airstrike operation targeting dozens of sites, including command and control centers and missile facilities inside Iran, at 10 PM Eastern Time. The U.S. military resumed attacks against Iran on this day, six days after pausing airstrikes on the 23rd. CENTCOM stated the goal of this operation was to deter threats from Iranian proxy forces.

U.S. President Donald Trump addressed the possibility that China is selling missiles to Iran, potentially violating a pledge made by President Xi Jinping, Reuters reported.