Oil prices exceed $100 per barrel amid tensions in the Strait of Hormuz
Oil prices have sharply increased due to the failure of talks between the US and Iran and the risks of a blockade of the Strait of Hormuz. This has heightened tensions around the strategic energy transit route.
The oil market reacted to the threat of a blockade of the Strait of Hormuz, a key route for transporting a significant share of the world’s oil exports. Following the breakdown of talks between the United States and Iran, Brent crude futures rose by 7.47%, reaching $102.60 per barrel. US West Texas Intermediate crude also increased by 8.14%, reaching $104.43 per barrel.
This resulted from the heightened readiness of the US Navy for a possible blockade of the strait. The US plans to restrict the movement of vessels heading to Iranian ports, while Iran has threatened strikes on American ships in case of a blockade.
Experts note that tensions in this region could significantly impact global oil prices, considering reduced supplies. Previously, oil prices fell below $100 after a ceasefire announcement, but the current situation indicates market instability due to geopolitical risks.
| Date | Brent | WTI |
|---|---|---|
| April 12, 2023 | $95.49 | $96.57 |
| April 13, 2023 | $102.60 | $104.43 |
