Warning crude oil could reach $120 a barrel if Middle East tensions do not ease

• Goldman Sachs has warned that crude oil prices could surge to $120 per barrel if attacks on shipping in the Middle East do not cease.
• Brent crude has climbed above $97 per barrel and is on track to surpass $100 per barrel for the first time since July.
• Traffic through the Strait of Hormuz has fallen to its lowest level since May following renewed military exchanges between the United States and Iran.
• Tehran has announced plans to establish a new exclusion zone outside the waterway, threatening to sanction ships attempting to enter.
• Recent escalations over the weekend saw US strikes on three Iranian oil tankers after Iran launched ballistic missiles at two American naval vessels.

IN FULL

Goldman Sachs warns oil could surge to $120 a barrel if attacks on Hormuz continue