Two oil tankers attacked in the Sea of Oman;Oil prices surge

Yesterday after two oil tankers were attacked in the Sea of Oman between UAE and Iran, the futures of crude oil increased by more than 4%. There have been tensions between UAE and Iran,and according to White House (USA) the attack was from Iran while Iran is not taking responsibility.

However, analysts say that the price surge is not as high as would have been expected a few years back. This is primarily because of the robust oil inventory of USA.

Similar incidents have been happening in the recent months and given the fact that the pathway is used to transport 80% of crude oil destined for Asian market, this can lead to price rise in these region.