Pakistan, July 18 -- Global oil prices climbed to their highest levels in months as tensions between the United States and Iran intensified. The rally pushed Brent crude above $87 per barrel and triggered declines across major global stock markets. Higher energy prices could increase inflationary pressures in oil-importing countries, including Pakistan.

Brent crude rose $3.10, or 3.68%, to settle at $87.33 per barrel, its highest level in several months. Meanwhile, US West Texas Intermediate (WTI) crude gained $3.14, or 3.98%, to $82.09 per barrel. Investors reacted to escalating geopolitical risks following renewed military exchanges between Washington and Tehran.

The market rally followed reports of fresh US military strikes against I...