Global oil prices climbed more than 1.5% on Thursday (23), reaching their highest levels in more than six weeks as renewed military action involving the United States, Iran and Yemen’s Houthi movement intensified concerns over global energy supplies.
Brent crude futures rose to around USD 96 per barrel, the highest level since early June, after closing at USD 94.07 in the previous session. Meanwhile, US benchmark West Texas Intermediate (WTI) crude increased to approximately USD 88.27 per barrel following strong gains recorded on Wednesday.
The latest price surge came after the US military launched a 12th consecutive night of strikes on targets in Iran, further escalating tensions in the region.
Iran’s Revolutionary Guards claimed that an oil tanker caught fire following an explosion while attempting to pass through a route south of the Strait of Hormuz, adding that two other tankers had turned back. Iranian officials also asserted that the strategically important waterway remains under their control and warned that tanker movements would be restricted while military operations continue.
Meanwhile, Yemen’s Iran-aligned Houthi movement expanded the conflict by announcing a naval blockade targeting Saudi Arabia and threatening vessels transporting Saudi oil through the Bab el-Mandeb Strait. The group also claimed responsibility for attacking two Saudi oil tankers in the Red Sea, although independent verification of the claims remains unavailable.
The escalating tensions have heightened fears of disruptions to global oil shipments through two of the world’s most critical maritime trade routes—the Strait of Hormuz and the Bab el-Mandeb Strait—raising concerns over the stability of global energy markets.
Adding to market uncertainty, the US Energy Information Administration reported that US crude oil inventories increased by 2 million barrels last week, contrary to market expectations of a decline.
Analysts say continued geopolitical instability in the Middle East is likely to keep oil markets volatile as investors closely monitor developments affecting global energy supply.
