US-Iran war, Sept. 2 -- Oil prices climbed nearly 1% in early trading on Wednesday, extending the sharp gains recorded in the previous session, as fears of supply disruptions grew following overnight strikes exchanged between the US and Iran. The developments also reduced expectations of a swift de-escalation of tensions in the Middle East.

Brent crude futures rose 87 cents, or 0.92%, to $95.52 a barrel, after jumping 4.6% on Tuesday and moving above the $95-a-barrel mark. Meanwhile, US West Texas Intermediate (WTI) crude futures advanced 80 cents, or 0.89%, to $91.02 a barrel.

Both benchmarks gained more than $4 in the previous session, with Brent recording its biggest one-day increase since July 24 and WTI posting its strongest rise s...