U.S. orders diplomats out of Saudi Arabia as Middle East conflict escalates. Oil surged above $110 per barrel Monday following Israeli strikes on Iranian energy infrastructure and announcements of output cuts from regional producers. The Strait of Hormuz faces continued disruption after Tehran threatened attacks on transiting vessels, prompting G7 finance ministers to discuss emergency oil reserve releases. Crude markets are experiencing heightened volatility as the geopolitical crisis spreads beyond initial conflict zones. Energy analysts warn the market's "grace period" has ended, signaling potential prolonged supply disruptions and economic contagion. Iran appointed a new supreme leader as military tensions intensify across the region, creating significant uncertainty for global oil markets and investor portfolios.
