Oil prices surge 2% as Strait of Hormuz tensions rattle markets

Oil prices climbed 2% to $110.37 per barrel for Brent crude on Monday, briefly topping $114, as uncertainty over the Strait of Hormuz persisted. The S&P 500 slipped 0.1% from its all-time high, the Dow fell 216 points (0.4%), and the Nasdaq edged up 0.1%. Iranian news agencies claimed a strike on a US Navy vessel southeast of the strait, accusing it of violating maritime security; the US military denied the claim and later reported two American-flagged merchant ships successfully transited the strait. President Donald Trump had stated Sunday that the US would guide ships through the waterway. Iran's closure of the strait due to its war with the United States has trapped oil tankers in the Persian Gulf, sending Brent from roughly $70 before the war. Despite the uncertainty, Wall Street has hit repeated records on hopes the global economy can avoid a worst-case scenario and strong corporate profit growth.