Hormuz Disruptions Fuel Oil Price Rally Amid OPEC Exit Doubts

Oil prices surged by over 3% on Wednesday as concerns about prolonged supply disruptions from the Strait of Hormuz continued to drive market sentiment. The Brent contract hit a one-month high, rising $3.33 to $114.59 per barrel.

The move was attributed to reports that US President Donald Trump had instructed aides to prepare for an extended blockade of Iranian ports, further squeezing Iran's economy and oil exports.

Analysts expect the supply disruptions to worsen if the blockade is extended, pushing oil prices higher. Yang An, an analyst at Haitong Futures, noted that 'the recent rise in oil prices has been driven by the Strait blockade'.