Oil prices climbed again in early Asian trading on Wednesday as the U.S. and Iran exchanged strikes in a sharp escalation after a month of relative calm, adding a fresh geopolitical layer to a market that was already tracking tight supply signals.

At the time of writing, WTI crude had risen to $91.05 per barrel, up 0.92% on the session, while Brent had gained 1.19% to trade at $95.68. Both benchmarks have increased by about $5 since hostilities between the two countries resumed.

U.S. Central Command (Centcom) said it had completed a wave of strikes targeting “air defense sites, radar systems, maritime assets and facilities, mine laying capabilities, and communications sites.” The strikes were carried out in response to IRGC attacks on commercial shipping in the Strait of Hormuz and U.S. service members in the region.

Axios later reported that the U.S. had struck two Iranian tankers under a new “tanker for tanker” policy in the Strait. According to the report, this was the first time the U.S. had attacked Iranian tankers in retaliation rather than as part of its ongoing blockade.

The IRGC said it had attacked Camp Titin, a U.S. Marine facility on the Gulf of Aqaba, in response to what it described as U.S. aggression. Jordan’s armed forces confirmed that its air defense systems had “dealt with” 13 ballistic missiles fired from Iranian territory, with 10 destroyed and three falling in remote areas.

The IRGC also claimed to have attacked U.S. targets in Bahrain and Kuwait. Kuwait said its air defenses were “actively engaging with missile and drone threats” from Iran, while Bahrain said it had successfully intercepted Iranian drones. The IRGC also said, via the IRNA News Agency, that it had shot down an MQ-9 drone belonging to the U.S. military. That claim remains unconfirmed.

In response to an ABC News report suggesting the latest round of U.S. economic and military pressure was intended to force Iran back to the negotiating table, President Trump posted on social media that he “couldn’t care less” if Iran signs an agreement. He also asked, “when are the Iranian people going to rise up and fight?”

Oil prices also found support from inventory data. The American Petroleum Institute reported a 2.6 million barrel draw in U.S. oil inventories, while another 3.1 million barrels were drawn from the Strategic Petroleum Reserve to support commercial inventories. Traders will be watching Wednesday’s Energy Information Administration release for confirmation of those figures, especially because official stock data can either reinforce or temper the market’s reaction to headline-driven supply risk.

The latest escalation may mark a turning point in the conflict after a month of relative calm. As economic pressure builds, Iran appears to have limited options beyond further military retaliation. The Iranian rial fell to a record low in August, breaking the psychologically important 2 million rial per dollar level, underscoring the strain on the country’s economy.

For oil markets, another period of significant volatility appears likely, as disrupting crude flows remains Iran’s most powerful lever, and the Strait of Hormuz remains a critical route for global oil shipments.

By Josh Owens for Oilprice.com

More Top Reads From Oilprice.com

• U.S. Crude Inventories Drop amid Continued SPR Draws
• Two Supertankers Hit by Unknown Projectiles in Strait of Hormuz
• Russia Doubles Dark Fleet to Ship LNG to Asia