Oil prices surged to over $100 as the conflict in Iran intensified, now in its third week. This week began with a notable spike in crude prices prompted by U.S. military actions targeting Iranian military facilities, particularly on Kharg Island, which is crucial for Iran's oil exports. The ongoing hostilities have raised concerns about the security of the Strait of Hormuz, a critical maritime route, as U.S. President Trump warned against any interference from Iran that could disrupt oil transit through the strait, a week after operations commenced on February 28.

In response to the escalating situation, Iranian state media announced that no oil infrastructure was harmed in the recent strikes, indicating the resilience of Iran's oil sector despite heightened military engagements. Furthermore, the U.S. President called for international cooperation, urging countries like China, France, Japan, South Korea, and the UK to assist in securing the Strait of Hormuz. However, this plea for multinational naval support raised questions about the U.S.'s commitment to its role in ensuring the safety of one of the world’s busiest shipping routes amid mounting tensions.

As oil prices rise, Asian markets reacted with volatility, reflecting investor anxiety surrounding the potential impacts of the Iran conflict on global oil supply and economic stability. The dual pressures of fluctuating oil prices and geopolitical tensions are likely to complicate market responses and economic strategies in the region, influencing policymakers both locally and internationally as they navigate these turbulent waters.