Oil prices rose today as US President Donald Trump reimposed a naval blockade on all Iranian ports and Iran responded by launching attacks on US infrastructure in the region. For the second straight session, Brent crude closed at its highest level since June 12 and West Texas Intermediate crude at its highest since June 15, and continued to rise in Wednesday morning trading.

Brent crude rose $1.46, or 1.72 percent, to $86.19 a barrel, and West Texas Intermediate crude increased $1.11, or 1.4 percent, to $80.40 a barrel. Oil prices closed 2 percent higher at a one-month high yesterday as supply disruptions in the Strait of Hormuz worsened due to the attacks.

In the early hours of Wednesday morning, the US military announced the start of a new round of strikes 'to continue weakening Iranian capabilities used to attack commercial ships in the Strait of Hormuz.'

According to Reuters news agency, Tim Waterer, senior market analyst at KCM Trade, said that the possibility of oil prices returning to near $100 in the near term remains if combat operations escalate and damage energy infrastructure in the Gulf region.

Tim Waterer noted that Brent crude prices might remain in the range of $75 to $80 a barrel if diplomatic efforts result in the reopening of the strait; as both sides have incentives to find a diplomatic solution.