Oil prices rise above $85 as US strikes Iran for second night

# Why This Matters The escalation of direct US military strikes against Iranian territory represents a critical threshold in Middle East geopolitics with immediate economic consequences. Oil price spikes above $85 per barrel—driven by legitimate fears of supply disruptions from the world's third-largest oil producer—will ripple through global markets within days: airlines will face higher fuel costs, shipping companies will increase surcharges, and consumers will see incremental price increases at gas pumps and in goods transported over long distances. Beyond economics, repeated military exchanges between the US and Iran create dangerous momentum toward a wider regional conflict that could involve multiple state actors and proxy forces, destabilizing Iraq, Syria, and the Persian Gulf shipping lanes that handle roughly one-third of global maritime oil trade. The current trajectory suggests markets are pricing in continued uncertainty rather than resolution, meaning sustained elevated energy costs could slow economic growth just as central banks navigate inflation concerns.