Commodities
USOIL Surges 3% Amid Escalating Geopolitical Tensions
The price of West Texas Intermediate (WTI) crude oil, also known as USOIL, has surged by 2.96% on September 13 to $101.273, marking a 12.00% gain over the past week.
This significant increase is largely driven by escalating geopolitical tensions in the Middle East and expanding security risks across key maritime trade routes.
Escalating hostilities in the Gulf region have led to renewed threats to energy infrastructure and vital shipping chokepoints, significantly elevating the market's geopolitical risk premium.
The combination of structural supply constraints and steady refinery intake has reinforced backwardation in the prompt futures curve, indicating that immediate physical tightness continues to outweigh broader macroeconomic concerns.