Oil prices rise following reports of US strike on Iran's Qeshm Island
Brent crude and WTI futures gained value as military action in the Middle East renewed global supply concerns.
Oil prices increased during early Asian trade on Tuesday following reports that American forces struck Iran's Qeshm Island, according to the Times of India.
Brent crude futures rose by 48 cents, or 0.5 per cent, to $105.25 a barrel, while US West Texas Intermediate (WTI) crude climbed 47 cents, or 0.5 per cent, to $96.93.
The Wall Street Journal reported, citing US officials, that the strikes were defensive and aimed at stopping Iran from targeting commercial vessels in the Strait of Hormuz.
The Strait of Hormuz previously carried approximately one-fifth of the world's natural gas and crude oil before shipping traffic reduced in late February.
While military action has raised escalation risks, Iran stated that contacts with Washington are continuing after talks with Qatari mediators ended without a breakthrough.
US President Donald Trump said an agreement with Tehran remains possible, while Iranian President Masoud Pezeshkian noted that Supreme Leader Ayatollah Mojtaba Khamenei granted the government powers to pursue peace talks.
