Brent crude futures surpassed $85 per barrel on Wednesday while West Texas Intermediate crossed $80, extending gains over three consecutive trading sessions. The advance comes as U.S. and Iranian forces exchange strikes in the vicinity of the Strait of Hormuz, heightening worries over potential disruptions to global energy supplies.
Analysts noted that the U.S. Strategic Petroleum Reserve has been significantly drawn down, leaving limited buffer against further supply shocks. This situation increases the potential for sharp price movements should conflicts intensify. President Donald Trump indicated that military operations could broaden next week absent renewed negotiations with Tehran.
The U.S. has reimposed a naval blockade on Iranian ports while withdrawing a proposed cargo fee on strait traffic. Market participants warned that risks of shortages could push prices toward $100 per barrel under escalated conditions. The developments reflect ongoing volatility in energy markets tied to geopolitical events.
Analysts noted that the U.S. Strategic Petroleum Reserve has been significantly drawn down, leaving limited buffer against further supply shocks. This situation increases the potential for sharp price movements should conflicts intensify. President Donald Trump indicated that military operations could broaden next week absent renewed negotiations with Tehran.
The U.S. has reimposed a naval blockade on Iranian ports while withdrawing a proposed cargo fee on strait traffic. Market participants warned that risks of shortages could push prices toward $100 per barrel under escalated conditions. The developments reflect ongoing volatility in energy markets tied to geopolitical events.