Oil price jumps as US-Iran clashes raise odds of interest rate rises

Tensions with Iran are driving up energy costs and reshaping economic expectations. After the US conducted its third night of strikes on Iranian targets on Tuesday, Brent crude jumped four point six percent to eighty-seven dollars and eight cents a barrel—the highest in just over a month, The Guardian reports. The spike has prompted European analysts to revise their interest rate forecasts upward; they're now pricing in two quarter-point UK interest rate increases by year's end. Stock markets fell as investors braced for both higher energy costs and tighter monetary policy.

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