Brent crude rises above $100 on conflict risks
- Brent crude futures climbed above $100 a barrel for the first time since July 24 as Middle East tensions increased supply concerns.
- Brent rose 2.2% to $100.07 a barrel, while West Texas Intermediate crude increased 1.83% to $94.73.
- Markets are monitoring disruptions around the Strait of Hormuz and Red Sea shipping routes as the conflict continues.
Brent crude futures rose above $100 a barrel on Wednesday for the first time since July 24 as escalating Middle East conflict increased concerns about regional oil supply disruptions.
Brent crude futures gained $2.15, or 2.2%, to $100.07 a barrel by 0721 GMT, while U.S. West Texas Intermediate crude increased $1.70, or 1.83%, to $94.73 a barrel.
“Oil markets are responding to concerns about potential supply disruptions linked to the Middle East conflict,” said market analysts.
The rise followed attacks by Iran-backed Houthis on Saudi energy facilities and reduced crude flows through the Strait of Hormuz, where shipments have declined since the start of the Iran conflict.
Following the announcement, Brent crude futures were trading at $100.07 a barrel as investors monitored geopolitical developments and potential effects on global oil supplies.
Rystad Energy estimated that crude flows through the Strait of Hormuz recently fell below 2 million barrels per day after reaching 8 million to 9 million barrels per day before fighting resumed, while several banks increased oil price forecasts.
Global oil markets continue to track supply changes, with the International Energy Agency expecting global oil supply to decline by 4.3 million barrels per day in 2026, despite increased production from countries including the United States, Canada, and Guyana.
