Amid fears of supply route disruptions...

Oil prices rose more than 3% on Wednesday, July 22, to hit their highest levels in six weeks, amid growing concerns over disruptions to supply routes in the Middle East due to the war between the United States and Iran, and threats from Iran-allied Houthi group to target ships.

US crude futures rose $2.49, or 2.95%, to settle at $86.83.

Brent crude futures also climbed $3.06, or 3.36%, to $94.07 per barrel at settlement.

The price spread for Brent crude between the front-month contract and the contract due in three months widened to $10.89 per barrel, the highest since May 22, reflecting a deepening backwardation, where spot contracts trade at a premium to futures, typically seen as a sign of near-term supply tightness.

The US military announced it had carried out attacks on Iran for the 11th consecutive night, while Kuwait's Defense Ministry said its air defenses intercepted Iranian drones.

These developments raised fears of greater disruptions to global energy supplies.