Sea drones target oil tankers in the Middle East as conflict risks widen — Reuters

Naval drones have been used in at least two attacks on oil tankers in the Gulf region since war erupted between the United States (US), Israel and Iran, suggesting ‌a dangerous new threat in the key shipping lane, Reuters reported on Wednesday.

Iran is suspected in attacks, as Tehran has previously showcased its naval drone capabilities at military displays.

Iran warned that the world should be ready for oil at $200 a barrel as its forces hit merchant ships on Wednesday and as shipping through the Strait of Hormuz has come to a near standstill.

Market reaction

At the time of writing, the West Texas Intermediate (WTI) is up 2.47% on the day at $87.38, retreating from over three-year highs of $113.28 reached earlier this week.