Crude oil futures jump over 3 pc as tensions in Middle East escalate further

Crude oil prices on Monday rose over 3 per cent to Rs 4,646 per barrel as tensions in Middle East escalated further after US president Donald Trump warned of a "major retaliation" if Iran tries to avenge the killing of its top military commander Qasem Soleimani.

On the Multi Commodity Exchange, crude oil for delivery in January traded higher by Rs 147, or 3.27 per cent, to Rs 4,646 per barrel in 66,031 lots.

Crude oil for February delivery was up by Rs 142, or 3.16 per cent, at Rs 4,636 per barrel with an open interest of 3,368 lots.

General Soleimani, the head of Iran's elite al-Quds force and architect of its regional security apparatus, was killed following a US airstrike on Baghdad's international airport on Friday.

The ongoing geo-political events raised concerns regarding disruption in supplies of crude oil, the analysts said.

Soleimani's killing was the most dramatic escalation yet in spiralling tensions between Iran and the US, already hit by serious differences over Tehran's ambitious nuclear programme.

Globally, the West Texas Intermediate (WTI) was trading up 2.09 per cent to USD 64.32 per barrel.

Meanwhile, Brent crude, the international benchmark, edged up 2.27 per cent to USD 70.16 per barrel in New York.