Oil prices surged above $80 on Monday as fears grow of an escalating conflict in the Middle East and possible supply disruptions in the US Gulf of Mexico from a major hurricane.
Brent crude, the global oil benchmark, rose almost 4 per cent to $81.12 a barrel, the highest since August, as the Middle East braced for the possibility of Israeli strikes on Iranian oil facilities in retaliation for rocket attacks last week.
Oil prices are now up almost 20 per cent since hitting a year-to-date low in early September.
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