On Wednesday oil prices rose sharply, up about six percent.
New strikes in the region threatened the US-Iran ceasefire.
Tankers kept sailing through the Strait of Hormuz, keeping supplies flowing.
President Donald Trump claimed the ceasefire had collapsed, putting further pressure to markets.
Analysts alerted further volatility could send prices soaring.
The price surge mirrored heightened risk to shipping routes and uncertainty over the ceasefire.
Traders noted the cumulative impact of the strikes and political remarks on the market.