Brent crude surged past $90 a barrel on Monday, marking the highest price since June as escalating military exchanges between the United States and Iran disrupt shipping through the Strait of Hormuz. The two percent jump extends last week's 15.9 percent gain, the largest weekly increase since April, and underscores how the conflict is tightening global oil supplies. Main Developments Brent futures climbed $2.09 to $90.19 per barrel, while US West Texas Intermediate rose $1.71 to $84.20, the highest since June 12. Both benchmarks posted double-digit weekly gains last week, with WTI up 15.5 percent. The Islamic Revolutionary Guard Corps reported Monday that two oil tankers exploded and were immobilised after attempting a southern route through the Strait of Hormuz, alleging the US military encouraged their passage. Reuters could not independently verify the incident. Read also: Manchhar Lake Dries Up as Decades-Old Drainage Project Stalls US allies Kuwait and Bahrain reported further Iranian strikes over the weekend, while the US conducted its ninth consecutive night of attacks against Iran. The United Kingdom Maritime Trade Operations agency said a vessel was on fire northwest of Oman's Kumzar early Monday. Background The Strait of Hormuz normally handles about one-fifth of global oil trade. Both sides have targeted shipping in recent days, with the US enforcing a naval blockade on Iranian ports and Iran striking vessels it says violate its navigation rules through the strait. ING analysts noted in a Monday report that the escalation shows "no let-up in the Gulf" and warned that unchecked conflict could return to "wide-scale attacks across the Gulf." LSEG data showed only four vessels transited the strait on Sunday, down from eight the previous day, though at least three oil products tankers and one Very Large Crude Carrier have entered since Friday to load oil. Why It Matters The price rally comes as oil inventories sit at their tightest level in five years, according to Barclays analyst Amarpreet Singh, who said markets "are still too complacent about the potential fallout." The dual blockades—US on Iranian ports and Iran on Strait of Hormuz traffic—threaten to further restrict supply from a region critical to global energy markets. Higher oil prices ripple through economies worldwide, raising fuel costs for consumers and businesses while increasing revenues for major producers. For Iran, the blockades cut off a key source of state revenue, potentially deepening economic pressures. What's Next Analysts say the coming days and weeks will determine the sustainable level of oil exports from the region under the renewed blockades. ING warned that if escalation continues unchecked, it could return to a pattern of wide-scale attacks across the Gulf. Shipping companies face difficult decisions about whether to risk transit through the Strait of Hormuz, where both sides have demonstrated willingness to strike vessels. The reduced number of crossings Sunday suggests growing caution among operators, a trend that could further tighten global oil supplies.