Global oil benchmarks experienced a significant upward surge on Wednesday, with Brent crude futures breaching the $100 per barrel mark for the first time since July 24. Reaching a six-week high, the price increase was driven by intensifying conflicts in the Middle East that stoked widespread anxiety regarding petroleum supplies. This adjustment brought futures in line with physical crude and fuel markets, where pricing had already exceeded this key psychological threshold. By 12:10 GMT, Brent futures rose by $2.88, or 2.94 percent, settling at $100.80 a barrel after touching $100.95 earlier in the session. Similarly, US West Texas Intermediate crude increased by $2.57, or 2.76 percent, reaching $95.60 a barrel, which marks its highest point since early June. Since the outbreak of the Iran war on February 28, Brent prices previously peaked at $126.41 a barrel on April 30. Analysts note that the market is rapidly adjusting its outlook concerning the duration of supply disruptions stemming from the region. Recent attacks by Iran-backed Houthis on Saudi energy facilities and Red Sea shipping routes have compounded fears, especially as traffic through the Strait of Hormuz remains severely restricted. Military actions have further escalated, involving US strikes on Iranian oil tankers alongside Iranian attacks targeting a US base in Jordan and various vessels. Experts emphasize that the ongoing hostilities and risks to regional oil flows are heavily influencing market pricing strategies, while physical markets and refined fuel products like gasoline and diesel continue to trade at elevated levels due to a global refining crunch.
Source: en.prothomalo.com
