WASHINGTON/TEHRAN, 3 September (Kulwant Singh Khairabadi): Military confrontation between the United States and Iran has intensified once again. US Central Command said American forces struck sites connected to Iran’s Islamic Revolutionary Guard Corps along Iran’s southern coast on 1 September.
CENTCOM said the operation targeted air-defence sites, radar systems, maritime assets and facilities, mine-laying capabilities and communications sites.
Iran responded with drone and missile attacks directed at US and allied sites across the region. Regional officials and media reports said sites in Bahrain, Jordan, Kuwait and Iraq were among those targeted. The exchange was described as the most serious confrontation between the two sides since July.
US President Donald Trump said the renewed American military campaign against Iran was not intended to continue for very long. Even so, the latest developments have intensified concerns about a broader confrontation across the Middle East.
Major impact on oil markets
The renewed confrontation is also clearly affecting global oil markets. Crude prices rose as traders assessed the risk that Middle Eastern supplies could be disrupted.
At Wednesday’s close, international benchmark Brent crude was up 1% at US$95.63 a barrel, while US West Texas Intermediate rose 0.9% to close at US$91.01 a barrel.
Shipping traffic slows in the Strait of Hormuz
The greatest concern for oil markets is the situation in the Strait of Hormuz, one of the world’s most important energy-shipping routes. Reported shipping data showed only four commodity vessels passed through the strait on Tuesday, compared with an average of about 13 over the preceding 10 days.
Analysts warn that if the confrontation escalates and oil traffic through Hormuz remains constrained, the effect may extend beyond crude prices. Costlier oil could add pressure to petrol, diesel, transport and a wider range of consumer prices.
