Oil prices jumped Tuesday to their highest level since late last week after reports that two tankers transiting the Strait of Hormuz had been hit by unknown projectiles.Subscribe to read this story ad-freeGet unlimited access to ad-free articles and exclusive content.U.S.crude oil rose more than 3% to above $70 per barrel for the first time since July 1.
International Brent crude oil also rose 3% to more than $74 per barrel.Earlier on Tuesday, the U.K.’s Maritime Trade Operations center said it had received two reports of attacks on ships “transiting the Strait of Hormuz.” One of them was “struck by an unknown Uncrewed Aerial Vehicle,” the agency said, and a second vessel was “struck by an unidentified projectile and is believed to have structural damage.” An attack on a third ship off the coast of Oman Tuesday caused a fire to break out on board, said UKMTO.A U.S.official confirmed the UKMTO reports, telling NBC News that Iran’s Islamic Revolutionary Guard Corps had fired missiles at two ships Tuesday and struck a third commercial vessel with at least one drone.The U.S.
military also shot down additional drones that had been fired by Iran, the official said.Adding to worries for oil traders on Tuesday was a report from Reuters that one of the ships, which it identified as a liquefied natural gas tanker, the Al Rekayyat, was “at risk of exploding due to a fire in its engine room.” NBC News has not been able to verify that report.U.S.
Treasury yields rose along with oil prices, with the 20- and 30-year yields breaking above 5%.The 10-year U.S.
government bond yield, which more heavily influences consumer borrowing rates than others, rose to its highest level since early June.Stocks briefly fell on news of the attacks, with the S&P 500 falling as much as nearly 1%.The index later rebounded and was down only 0.3% in early afternoon trading.The Nasdaq 100 index fell harder, however, dropping as much as 2%.
Most of these losses were attributa...