US oil falls despite Iran strikes

US crude oil fell sharply in Asian trading despite fresh American strikes on targets in southern Iran.

West Texas Intermediate, the main US oil benchmark, dropped more than 5% to $91.33 a barrel.

Brent crude rose 1.6% to $97.68 a barrel.

Oil prices had already fallen below $100 after hopes grew that the Strait of Hormuz could reopen if Washington and Tehran reached a deal.

But those hopes were tested after CENTCOM said US forces hit missile sites in southern Iran and vessels trying to lay mines.

The strikes could put pressure on a fragile ceasefire in place since 8 April.

Markets are watching for signs that tensions in the Gulf will ease or flare again.