Oil shock returns: Brent surges above $106 as Hormuz fears rattle markets
Brent crude jumped to $106.60 a barrel, gaining $3.52, or 3.41%, as of 7.24am Friday in Tokyo on renewed concerns over the US-Iran conflict and the security of oil flows through the Strait of Hormuz pushed the global benchmark sharply higher. Murban crude, a key benchmark for Abu Dhabi and the wider Gulf, rose to $117.60 , up $4.52, or 4%. West Texas Intermediate (WTI) was comparatively steady at…
Oil prices have surged above $106 per barrel due to heightened concerns over the US-Iran conflict and the security of oil flows through the Strait of Hormuz. Brent crude, a global benchmark, reached $106.60, while Murban crude, which includes Abu Dhabi and the wider Gulf, soared to $117.60. In contrast, West Texas Intermediate (WTI) remained relatively stable at $94.51.
The widening gap between Brent and WTI suggests that international markets view seaborne and Middle Eastern supplies as riskier than US domestic crude. The Strait of Hormuz remains a key source of concern for oil markets, with Iran stating its reopening will depend on meeting certain conditions. Tensions persist despite some progress in Saudi Arabia's efforts to restore exports through the East-West pipeline and alternative export routes.
However, the vulnerability of Gulf cargoes to maritime risks and Red Sea attacks remains a concern. Oil prices have been volatile since March, impacting Brent's rise above $100, followed by fluctuations as diplomatic efforts and Saudi supply recoveries unfolded.
Written by urgent.news from Gulf News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
