Washington DC - President Donald Trump on Thursday said his government would soon take action to "reduce pressure on oil," after prices spiked due to the US-Israeli war on Iran.

"Further action to reduce pressure on oil is imminent, and the oil seems to have pretty much stabilized. We had it very low, but I had to take this little detour if it's ok with everybody?" he said at a White House event, without specifying what the action would be.

He referenced having earlier taken "decisive action" by "offering political risk insurance for tankers transiting into the Gulf."

Traffic through the Strait of Hormuz, through which a fifth of the world's crude oil and liquefied natural gas travel, has been badly impacted, sparking fears of shortages and sending prices soaring to levels not seen in nearly two years.

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Brent crude, the main international contract, climbed 4.9% on Thursday, while WTI, the main US contract, rose 8.5%.

High gasoline prices are a key pain point for American political leaders, potentially fueling inflation that already has many households feeling the pinch.

Average US gasoline prices have risen about nine percent in the last week, according to the AAA gas prices gauge.

On Tuesday, Trump ordered the US Development Finance Corporation to provide political risk insurance for all maritime trade through the Gulf.

He said the US Navy would "if necessary" begin escorting tankers through the Strait of Hormuz "as soon as possible."