Crude Oil Hits 4-Month High Amid US-Iran Tensions, Market Jitters

• Crude oil prices surged by nearly 2%, reaching a 4-month high above $68 per barrel.
• The price hike is primarily driven by escalating tensions between the US and Iran, following President Trump's threats of military action if Iran doesn't agree to a nuclear deal.
• West Texas Intermediate (WTI) rose 1.3% to $64 per barrel, closing at its highest since late September.
• Trump's social media posts, threatening swift and violent action, have added a risk premium to oil prices.
• Traders are buying bullish call options to hedge against potential US-Iran confrontation, reflecting market concern over Middle East geopolitical risks and potential disruption to global oil supply, especially through the Strait of Hormuz.

Why It Matters: US-Iran tensions have pushed crude oil to a 4-month high, raising fears of supply disruption.