Oil Prices Rise on Iran Protests and U.S. Tariffs

Oil prices surged to their highest levels in over two months on Tuesday, driven by escalating tensions in Iran where nationwide protests have prompted a deadly government crackdown and prompted U.S. President Donald Trump to impose immediate 25 percent tariffs on countries conducting business with the Islamic Republic.

Brent crude futures climbed above $64.50 per barrel in early European trading, marking a more than 1 percent increase over the past 24 hours and the highest close since mid-November. West Texas Intermediate, the U.S. benchmark, traded around $59.55, up from recent lows near $59 and reflecting gains that began last week. The rally stems from fears that Iran's political unrest could disrupt its oil exports, which average about 2 million barrels per day and account for a significant portion of global supply as OPEC's fourth-largest producer.

The protests, now in their third week, erupted amid an economic crisis and have spread across the country, including to oil facilities where workers at a major refining and petrochemical complex have gone on strike. Human rights groups estimate hundreds of deaths from the security forces' response, which Iranian officials...