LONDON, March 6 (V7N) – Oil prices climbed sharply while global stocks retreated Thursday as investors tracked the sixth day of the Middle East war, which has disrupted shipping routes and heightened fears of supply shortages.  

Brent crude rose 4.3 percent to $86.93 per barrel, while WTI jumped 6.8 percent to $79.76, extending gains of more than 17 percent since Friday. Analysts warned the surge could fuel inflation and derail hopes for lower interest rates.  

Equity markets faltered, with European exchanges shedding around 1.5 percent and Wall Street indices also retreating. London’s FTSE 100 closed down 1.5 percent, Paris CAC 40 fell 1.7 percent, and Frankfurt’s DAX dropped 1.6 percent. In New York, the Dow slid 1.7 percent, while the S&P 500 and Nasdaq also dipped.  

The turmoil stems from the US-Israeli strikes on Iran that killed its supreme leader, triggering retaliatory attacks across the Gulf. Tehran has effectively shut down the Strait of Hormuz, a vital corridor for one-fifth of global crude and LNG, slashing tanker traffic by 90 percent, according to energy intelligence firm Kpler.  

Iran claimed Thursday it hit an oil tanker in the Gulf with a missile, setting the vessel ablaze, though the incident remains unconfirmed. Reports of attacks have spread as far as Sri Lanka, where a US submarine sank an Iranian warship, and Azerbaijan, which accused Tehran of drone strikes near an airport.  

US President Donald Trump pledged the US Navy would protect shipping lanes, but analysts remain cautious. “It’s just not feasible to reasonably protect all ships in the region,” noted National Australia Bank’s Ken Crompton, pointing to past Houthi attacks on vessels. 

China, fearing shortages, has asked its refiners to suspend fuel exports, while shipping giant Maersk halted bookings in the Gulf.  

Asian markets showed mixed resilience: Seoul’s Kospi rebounded 9.6 percent after a collapse earlier in the week, Tokyo’s Nikkei rose 1.9 percent, and Hong Kong and Shanghai posted modest gains.  

Key figures (1630 GMT):  

- Brent crude: $86.93 (+4.3%)  

- WTI: $79.76 (+6.8%)  

- Dow Jones: 47,896.52 (-1.7%)  

- S&P 500: 6,809.83 (-0.9%)  

- Nasdaq: 22,676.37 (-0.6%)  

- FTSE 100: 10,413.94 (-1.5%)  

- CAC 40: 8,030.89 (-1.7%)  

- DAX: 23,815.75 (-1.6%)  

END/WD/RH