Global oil prices continued their rise on Friday after Iran rejected a U.S. cease-fire offer, fueling investor concerns that the widening conflict could throttle energy shipments from the region indefinitely.
Claims of strikes on tankers in the Red Sea by the Iranian-backed Houthi militia group on Thursday added to fears about the flow of oil out of the Middle East. The group has threatened to blockade Saudi ships taking an alternate route to avoid the Strait of Hormuz.
“From this point forth, any and all damages done to Ships, Cargo, or anything related thereto, will be paid for by Iranian Money that the United States has in its possession, and controls,” President Trump posted on his social media site late Thursday. “These damages may be very substantial but, nevertheless, this is the fair and equitable thing to do.”
