The effect of US and Iran crude oil war is getting evident now, and it has led tension among countries which later have let the crude oil companies to raise the price. The oil was reported to be trading over $100 a barrel in New York.

It seems that this tension would intensify even more if Iran would answer back to the European embargo by disrupting the oil supply shipping in the Persian Gulf. The EU regulators have already agreed to Obama who called for a complete ban which would mean no crude oil supply would come from the Islamic Republic.

It is reported that the ban would start from July 1, and would continue till the time Iran does not suspends its nuclear program which is suspected to harm US and other European countries.

One of the analysts said that price has changed a bit, but it seems that it would down a bit as South Arabian countries have assured that they would not let the supply to disrupt.

Andy Sommer, a senior trader at EGL AG in Dietikon, Switzerland, said: “The Iranian crisis is masking underlying weakness in market fundamentals”. However, it is hoped that supply would not disrupt as places like Libya have come forth with increase crude oil supply.

The war between both the countries Iran and the US has gone quite far than being restricted to crude oil. The EU regulators have announced that they would ban the assets of the Iranian central bank. Not only this, but they would ban all other eight entities such as gold, silver, diamond, other precious metal and petrochemical products from Iran.

Iran is no less as it threatens the US to disrupt the crude oil shipping from the Strait of Hormuz which is a main route for the US to get the oil.