Oil Jumps 4% as US-Iran Strikes Raise Strait of Hormuz Risk

Brent crude rose past $82 a barrel, its highest since November. The jump was sharpest in the front-month contract, suggesting traders are pricing near-term supply risk rather than a sustained disruption. The spread between the first and second Brent contracts widened to 78 cents, from 42 cents before the strikes.

Insurance premiums for tankers transiting the Gulf have already risen, shipping brokers said. Some vessels were rerouting to avoid the area, adding days to voyages and raising freight costs.

The Pentagon said the strikes were a response to a drone attack that killed three U.S. service members in Jordan last week. Iran denied involvement in that attack. The White House said it does not seek a wider war but will respond to further aggression.

Gold rose 0.8% to $2,058 an ounce. The dollar index gained 0.2% as investors sought safe-haven assets. European and Asian equity markets also fell, with Japan's Nikkei down 1.1% and Germany's DAX off 0.6%.