JOHANNESBURG - Oil prices have surged above $100 a barrel for the first time in more than two months, as escalating tensions between the United States and Iran raise fears of supply disruptions in the Middle East.
The latest rally follows reports of military exchanges between the United States and Iran, including attacks on oil tankers and shipping in the Gulf.
The escalation has heightened fears of disruptions around the Strait of Hormuz, a key route for global crude exports.
At the same time, a recovery in Chinese oil demand is adding support to prices.
Analysts say the combination of geopolitical tensions and stronger demand is putting renewed upward pressure on global energy markets.