Oil prices rise as investors eye fragile US-Iran ceasefire

Global oil prices rose in Asian morning trade on Thursday as investors watch developments in the fragile US-Iran ceasefire. The conditional two-week ceasefire has been tested after Israel launched a wave of deadly strikes on Lebanon, prompting Tehran to warn of a "regret‑inducing response" if the attacks continue. Oil prices plunged on Wednesday after the announcement of the agreement that includes the reopening of the key Strait of Hormuz waterway.

Traffic through the crucial shipping route has been severely disrupted after Iran threatened to attack vessels that try to cross the strait, in retaliation against US-Israeli airstikes on Iran. Global benchmark Brent crude was up 3.3% at $97.90 (£73.11), while US-traded West Texas Intermediate was 3.2% higher at $97.55. Oil prices remain far higher than they were before the war started on 28 February.