The US military reportedly launched a self-defense strike targeting a missile base in southern Iran at around 7.30 am Malaysian time. A spokesman for the US Central Command confirmed the operation to thwart an attempt by an Iranian military boat to lay mines in commercial sea lanes.
The US military stressed that they would continue to take aggressive action to protect the safety of their markets and forces. While the commitment to refrain from engaging in any form of military action during the ceasefire period will be respected, dangerous restrictions in international waters will not be tolerated at all.
The news of the unrest immediately sent a chill through the global energy market as crude oil prices began to rise. The benchmark West Texas Intermediate rose 0.60 percent in a few hours, once again surpassing the $90.01 per barrel mark.
The previously buoyant market sentiment is now clouded by concerns over the risk of oil supply disruptions. Investors are worried that this latest incident could trigger an inflationary chain that could force the central bank to maintain high interest rates for longer.
