Global oil markets surged on Thursday, with Brent crude climbing 6.8% to reach $108 per barrel, while U.S. West Texas Intermediate (WTI) rose 6.4% to $106.52 per barrel. The sharp increase followed remarks from U.S. President Donald Trump indicating that military operations against Iran are ongoing.
In his address, Trump stated that U.S. forces are “very close” to achieving their objectives, but he did not outline any clear timeline for a ceasefire or diplomatic resolution. Analysts believe that the lack of a defined exit strategy has intensified concerns about prolonged disruptions to global oil supplies.
Market analyst Priyanka Sachdeva noted that traders reacted strongly to the absence of any mention of diplomatic engagement. She warned that further escalation or heightened risks to key shipping routes could push oil prices even higher in the near term.
Tensions have also begun to affect energy transportation. Reports on Wednesday indicated that an oil tanker leased by QatarEnergy was struck by an Iranian cruise missile in waters near Qatar, underscoring the growing risks to maritime oil flows in the region.
According to Claudio Galimberti, chief economist at Rystad Energy, any significant disruption in supply could begin impacting Europe’s economy as early as April. While pre-arranged shipments may offer short-term stability, uncertainty continues to dominate market sentiment.
Experts say the oil market is likely to remain volatile until there is greater clarity on how the conflict will unfold or whether a diplomatic solution emerges.
