Oil price rises on Biden Iran oil strike commentsSkip to contentBritish Broadcasting CorporationWatch LiveHomeNewsSportBusinessInnovationCultureArtsTravelEarthAudioVideoLiveHomeNewsIsrael-Gaza WarWar in UkraineUS & CanadaUKUK PoliticsEnglandN. IrelandN. Ireland PoliticsScotlandScotland PoliticsWalesWales PoliticsAfricaAsiaChinaIndiaAustraliaEuropeLatin AmericaMiddle EastIn PicturesBBC InDepthBBC VerifySportBusinessExecutive LoungeTechnology of BusinessFuture of BusinessInnovationTechnologyScience & HealthArtificial IntelligenceAI v the MindCultureFilm & TVMusicArt & DesignStyleBooksEntertainment NewsArtsArts in MotionTravelDestinationsAfricaAntarcticaAsiaAustralia and PacificCaribbean & BermudaCentral AmericaEuropeMiddle EastNorth AmericaSouth AmericaWorld’s TableCulture & ExperiencesAdventuresThe SpeciaListEarthNatural WondersWeather & ScienceClimate SolutionsSustainable BusinessGreen LivingAudioPodcastsRadioAudio FAQsVideoLiveLive NewsLive SportHomeNewsSportBusinessInnovationCultureArtsTravelEarthAudioVideoLiveWeatherNewslettersOil price rise comes at a critical point3 October 2024Faisal IslamEconomics editor•@faisalislamGetty ImagesThe price of oil has jumped 5% after US President Joe Biden said the US was discussing possible strikes by Israel on Iran’s oil industry.Asked on a visit if he would support Israel striking Iran’s oil facilities, Biden said: “We’re discussing that."Iran is the seventh largest oil producer in the world, exporting around half its production abroad, mainly to China.Since Iran’s missile attack on Israel on Monday, the price of benchmark Brent crude oil has risen 10% to $77 a barrel, although this remains below levels seen earlier this year.Any extended rise in energy prices raises the possibility of higher petrol prices and increased gas and electricity bills, pushing up the rate of inflation.So far this year, weaker demand from China and ample supply from Saudi Arabia have acted to hold down oil prices.The reaction in oil markets has, so far, been far more muted than, for example, to Russia’s invasion of Ukraine in 2022.But the escalation of violence in the Middle East and threat of further action is now stalking the markets.Of particular concern is whether any escalation could block the Straits of Hormuz, through which a third of oil tanker traffic and a fifth of LNG frozen gas has to pass.Since Russia’s war with Ukraine began, the world has become more dependent on shipped frozen gas in LNG tankers.Even if it is Asia that is most physically dependent on the flow of oil and gas out of the Persian Gulf, the immediate price impact of such developments would be significant.Bank of England governor Andrew Bailey warned on Thursday of the “very serious” potential impact and that he was watching developments “extremely closely”.All this could come at the very moment the world’s central bankers declared a quiet victory over the three-year inflation shock from the pandemic and Ukraine war.It may help explain why G7 leaders are trying to moderate the expected response from Israel to Iran’s attack.'Any feeling of safety is vanishing': Israeli strike on central Beirut kills nineIsrael-Hezbollah conflict in maps: Tracking the violence in LebanonWhat is Hezbollah and why is Israel attacking Lebanon?IsraelIranUnited StatesOil & Gas industryJoe BidenRelated'He was unrecognisable' say family of freed hostage2 hrs agoWales'I'll be back', Israeli hostage told family - who were then killed6 hrs agoWalesHamas says it will return bodies of four hostages including Bibas family14 hrs agoMiddle EastMore46 mins agoUS must not interfere in Tate's case, say alleged victimsReports say US officials asked Romania to relax travel restrictions against Andrew Tate and his brother.46 mins agoWorld3 hrs ago'Help us': Hundreds deported from US held in Panama hotelIndians, Afghans and Sri Lankans are among the undocumented migrants unable to leave the hotel after being deported.3 hrs agoWorld4 hrs agoZelensky says Trump living in Russian 'disinformation space' Donald Trump's suggestion that Kyiv started the war and the Ukrainian leader is unpopular draws a sharp response.4 hrs agoWorld5 hrs agoSeven charged over burglary spree targeting pro athletes in USGoods worth more than $2m were stolen from the homes of NBA and NFL players late last year.5 hrs agoWorld5 hrs agoWhat's your message to Ukraine? - BBC asks TrumpThe US and Russia have been in peace talks about the Russia-Ukraine war that Ukraine wasn't included in.5 hrs agoWorldBritish Broadcasting CorporationHomeNewsSportBusinessInnovationCultureArtsTravelEarthAudioVideoLiveWeatherBBC ShopBBC in other languagesFollow BBC on:Terms of UseAbout the BBCPrivacy PolicyCookiesAccessibility HelpContact the BBCAdvertise with usDo not share or sell my infoContact technical supportCopyright 2025 BBC. All rights reserved.  The BBC is not responsible for the content of external sites. Read about our approach to external linking. 
Biden the war criminal morphs into Biden the war incompetent.