In view of the possibility of increasing tension between America and Iran, crude oil prices are seeing a jump.
On Wednesday, America has allowed the families of American military personnel to return from the Middle East countries.
International oil standard Brent crude has increased by five percent from its level to $ 70 per barrel in afternoon trading in New York on Tuesday. America's West Texas Intermediate has also shown growth and reached its highest level since April.
Crude oil prices saw a jump when Donald Trump gave a statement that there is little hope of success in the ongoing talks with Iran regarding the nuclear deal.
President Donald Trump confirmed the withdrawal of non-essential staff, saying, "American personnel are leaving the Middle East. This can be a dangerous place. We will see what happens. Iran cannot have nuclear weapons. We will not allow this."
US has warned that it will consider military options
The US has warned that if diplomacy fails, it will consider military options to stop Iran from acquiring nuclear weapons.
Israel has also threatened action against Iran. Iran is in its weakest position in decades and in such a situation Israel has an opportunity to attack.
Iran's Defense Minister said on Wednesday that his country would target American military bases "without hesitation" in response to any attack. These statements have had a direct impact on the oil market.
The time set for Iran to reach a new nuclear agreement is ending on Thursday. Trump had given Iran 60 days to reach this agreement.
Prakash Kumar Pandey