US military strikes on Iran trigger market decline and oil price surge

The United States carried out a second round of military strikes against Iran on Thursday. President Trump said a peace agreement with Iran was over, and Iran responded with its own attacks. Oil prices rose sharply after the news. Brent crude climbed more than five percent to around $78 per barrel. Fewer oil tankers crossed the Strait of Hormuz, dropping from an average of 34 to just 14. This raised fears about energy supply from the region. Financial markets fell in response. Bitcoin dropped about one percent to near $62,000, after reaching $64,600 earlier in the week. Ethereum also fell slightly, to around $1,742. Investors moved away from riskier assets because the conflict created uncertainty about oil supplies and future prices.