Oil Prices Rise on Renewed Mideast Tensions

Oil prices have risen due to renewed fears of supply disruptions from the Middle East following a resumption of fighting between the US and Iran. Brent crude futures rose $1.05, or 1.2%, to $91.54 a barrel, while US West Texas Intermediate crude was up $1.27, or 1.5%, to $87.03.

The conflict has raised concerns about damage to energy infrastructure around the Gulf and the potential for Iranian retaliation against ships transiting the Strait of Hormuz. Despite efforts by mediators including Qatar and Oman to broker a deal to reopen the waterway, which carried about a fifth of global oil supplies before the war erupted in late February, progress has been slow.

Analysts expect oil prices to remain above $80 a barrel in 2026 as shipping disruptions continue. The global oil market is relying on buffers that are becoming exhausted, with US inventories nearing minimum levels and China's ability to keep imports low being tested as seasonal demand picks up.