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Commodities

$87.55: Oil Prices Soar to New Heights Amid Global Uncertainty

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As of August 10, 2026, oil is selling for $87.55 per barrel, according to Fortune. This price is 11 cents higher than yesterday morning and represents a $21 rise over the past year.

The current price of oil is influenced by supply and demand, including news about potential future supply and demand (geopolitics, decisions made by OPEC+, etc.).

Brent crude oil, which is the main global oil benchmark, has historically seen spikes due to factors such as wars and supply cuts. However, it has also experienced crashes from global recessions and an oversupply (called a "glut"). For example, during the 1970s, prices dropped after the Middle East imposed an embargo on the U.S. and others during the Yom Kippur War.

The price of oil affects gas pump prices, as crude oil accounts for more than half the price per gallon. When oil prices spike, so do gas prices, but when oil prices drop, gas prices tend to take their time drifting down to the lower price.

The U.S. has a Strategic Petroleum Reserve, which is used in case of emergency to soften crippling price hikes during supply shocks. However, it's not a long-term answer and only provides immediate relief.

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