US-Iran Tensions Spark Two-Month High in Global Oil Prices

Global crude oil prices have reached their highest level in two months as tensions between the United States and Iran escalate, leading to supply concerns. Brent crude, the global benchmark, rose above $105 per barrel during the week, with dated Brent reaching $105.70 per barrel on May 28.

The gains reflected stronger demand for immediate oil deliveries amid tightening supplies. North Sea Forties crude increased to $108.77 per barrel, while some physical crude grades approached $110. Market participants are monitoring geopolitical developments and supply conditions closely, with analysts warning that further escalation in regional conflicts could keep international crude prices elevated.

Supply disruptions linked to conflicts involving Iran and Ukraine have intensified market concerns, leading buyers to seek alternative crude sources to secure prompt shipments. Kazakhstan reported disruptions at its key CPC Blend export terminal on the Black Sea, which suspended operations and reduced oil production due to alleged Ukrainian drone attacks.