US-Iran war, June 1 -- Oil prices climbed over 2% in early trade on Monday after Israel directed its forces to advance deeper into Lebanon amid ongoing clashes with the Iran-backed Hezbollah militant group, despite a ceasefire that was declared more than six weeks earlier.

US crude futures were up $2.37, or 2.71%, at $89.73 per barrel, while Brent crude futures gained $2.16, or 2.37%, to reach $93.28 per barrel.

Back home, crude oil prices on Multi Commodity Exchange (MCX) also witnessed a similar upward movement. MCX crude oil prices rose as much as 3.15% to Rs.8,542 per barrel.

The escalation, occurring shortly after the US hosted Israel-Lebanon peace negotiations in Washington on Friday, dampened hopes that Washington and Tehran wou...