There are fears that a period of elevated oil and gas prices could trigger a damaging wave of global inflation.
Oil prices have risen more than 5 percent following an Israeli strike on Iran’s South Pars gasfield as the United States-Israeli war on the country continues to escalate.
Brent crude, the international standard, rose 5 percent to $108.66 a barrel on Wednesday, while US West Texas Intermediate crude CLc1, the price barometer for US oil, gained 2.5 percent to $98.65, widening its discount to Brent to the largest since May 2019 on fears of a prolonged conflict.