Brent oil prices advanced towards $102 a barrel as Iran asserted its preparedness for a more intense war amid escalating conflicts in the Middle East. This has heightened fears of significant disruptions to oil shipments passing through the critical Strait of Hormuz. The global benchmark, Brent, has now risen for five consecutive days, marking its first close above $100 since July. West Texas Intermediate (WTI) was trading around $97 a barrel.
The ongoing tensions between the US and Iran have led to a deepening energy crisis. US Energy Secretary Chris Wright noted that approximately 11 million barrels per day of crude and oil products are currently transiting through the Strait of Hormuz. The prolonged conflict, now in its seventh month, carries the risk of pushing oil prices beyond $120 a barrel, according to Daan Struyven, co-head of global commodities research at Goldman Sachs.
Iran has demonstrated its resolve not to concede ground in the face of American naval presence, with its leaders committed to continuing the fight despite economic pressures. A senior Iranian official indicated that the country has rebuilt its missile capabilities and is prepared to escalate attacks on US and Gulf assets if Washington intensifies its own offensive actions. US President Donald Trump's advisors have privately expressed concerns that the conflict could persist through the remainder of his term.
