Oil Soars Above $100 a Barrel

“Oil smashed through $100 a barrel as more major Middle East producers cut output, with a standstill of tanker traffic through the vital Strait of Hormuz choking off supplies to the rest of the world,” Bloomberg reports.

“Brent traded 11% higher around $103 a barrel, on course for the biggest daily gain in dollar terms since futures began trading in 1988. Prices eased from almost $120 earlier as the world’s largest economies consider a co-ordinated release of emergency oil stockpiles, with Group of Seven finance ministers set to discuss the move later on Monday.”

CNBC: “Iraq, Kuwait and the United Arab Emirates, three big OPEC producers, have cut oil output as they run out of storage space.”

“They are unable to export through the Strait of Hormuz due to Iranian threats against tankers. The U.S. war against Iran has shown little signs of easing.”