Oil prices surge, airlines cancel flights after Israel strikes Iran
The price of Brent crude rose by more than 7%, even touching a high of $78 per barrel on Friday.
Oil prices spiked by more than 7% Friday morning, after Israel and Iran traded airstrikes overnight amid rising tensions in the region.
Israel said early on Friday that it had launched a series of airstrikes on Iran’s military and nuclear sites. It also said it had targeted several nuclear scientists and army commanders. According to Iranian officials and local media, Maj. Gen. Mohammad Bagheri, head of the powerful Islamic Revolutionary Guards Corps, was reportedly killed in the strikes.
Israeli Prime Minister Benjamin Netanyahu, addressing the nation after the first wave of strikes, vowed to keep attacking Iran until it was longer seen as a threat.
Brent Crude, the global benchmark, accounting for between 70% and 80% of all traded oil, hit $75.37 a barrel as of 6:30 a.m. Eastern Standard Time on Friday, more than 7% higher than Thursday's close. Earlier Friday it had hit as high as $77.98 per barrel. Last night, before the attacks began, it was around $70 a barrel amid a few days of volatility as rhetoric from Iran, the United States and Israel grew more aggressive.
West Texas Intermediate, the US benchmark, was up 4.77%, to $72.81, on Friday at 6 a.m. Eastern Standard Time.
The United States said it was not involved in Israel’s strikes. Iranian media reported explosions being heard in Tehran as tensions increased amid US efforts to reach a deal with Iran to halt its production of nuclear bomb material.
The Iranian leadership has vowed to respond to the airstrikes, with a government statement asserting, “The end of this story will be written by Iran’s hand.” Media outlets reported Iran launching drones at Israel in response to its attack.
On Thursday, the Trump administration withdrew some of its embassy staff from the region in anticipation of an Israeli attack amid increasing tensions.
Early on Friday, Trump posted to his Truth Social platform, urging Iran to make a nuclear deal "before it is too late."
"There has already been great death and destruction, but there is still time to make this slaughter, with the next already planned attacks already being even more brutal, come to an end,” he said.
He also stated, "Iran must make a deal, before there is nothing left, and save what was once known as the Iranian empire."
Airlines axe flights
Meanwhile, scores of airlines canceled flights and suspended services in the region on Friday. Carriers diverted from airspace over Iran, Iraq, Israel and Jordan.
Among the carriers taking precautions were Dubai-based Emirates, the Middle East’s largest airline, which said in a statement that it had canceled flights to and from Iran, Iraq, Jordan and Lebanon after the Israeli attack on Iran. Low-cost carrier Flydubai also canceled flights.
Qatar Airways said it had temporarily canceled flights to Iran and Iraq.
Israeli carrier El Al Airlines said it had suspended flights to and from Israel and was moving some of its planes out of the country.
Tel Aviv’s Ben Gurion Airport, Israel's largest and busiest airport, was closed until further notice with the Israeli Air Force on standby for an Iranian military response.
