International oil prices surged as crude shipments through the Strait of Hormuz were effectively halted due to the Middle East war. Brent crude, the global benchmark, topped $90 a barrel on the 7th (local time).
On the London ICE Futures Exchange, May delivery Brent futures were trading around $91 a barrel as of 4 p.m., up more than 6% from the previous session. This is the highest level since April 2024.
West Texas Intermediate (WTI) in the United States also rose sharply. At the same time on the New York Mercantile Exchange, April delivery WTI futures were trading around $89 a barrel, up about 9.8% from the prior session.
Amid heightened uncertainty across energy markets due to military clashes between the United States and Iran, the effective closure of the Strait of Hormuz—through which about 20% of the world's seaborne crude passes—is adding upward pressure on oil prices.
Citigroup estimated that disruptions to crude supply through the Strait of Hormuz are causing daily supply losses of about 7 million to 11 million barrels.