Brent Crude Soars Past $125 A Barrel On Iran War Worries

LOADINGERROR LOADINGHONG KONG (AP) — The price of Brent crude oil surged past $125 a barrel early Thursday as stalled U.S.-Iran talks raised doubts over the reopening of the Strait of Hormuz and a permanent end to the Iran war.Brent crude to be delivered in June jumped 6.2% to $125.36 and Brent to be delivered in July rose 3.1% to $113.85.Advertisement Benchmark U.S.crude climbed 2.3% to $109.38 per barrel.Before the start of the war in late February, Brent crude was trading around $70 per barrel.The Iran war, which is in its ninth week, still sees no clear path to an end.

The U.S.has continued its blockade of Iranian ports while the Strait of Hormuz, is closed, pushing oil prices higher.

Reports Thursday suggesting a possible escalation by U.S.President Donald Trump doused hopes for a quick end to the conflict.“The breakdown of talks between the U.S.

and Iran, along with President Trump reportedly rejecting Iran’s proposal for a reopening of the Strait of Hormuz, has the market losing hope for any quick resumption in oil flows,” ING Bank strategists Warren Patterson and Ewa Manthey wrote in a research note.Oil prices vary depending on the type of crude oil, where it is being traded and under what terms, for futures contracts.By some measures, Brent has hit its highest level since its peak of $147.50 per barrel in 2008 during the global financial crisis.Advertisement Oil prices jumped on April 28 to their highest level since the U.S.-Iran ceasefire.

Frederic J.BROWN / AFP via Getty ImagesWith the war rattling world markets, the U.S.

dollar surged to 160.51 Japanese yen, its highest level in nearly two years.It closed at 160.44 yen on Wednesday.The dollar has gained against other major currencies partly due to its status as a haven for investors in times of risk, and partly because U.S.

interest rates have remained relatively high as the Federal Reserve strives to balance a need to boost the economy with the higher prices that are partly a res...