Middle East War Pushes Oil to Highest Level Since 2024
Oil prices rose on Thursday to their highest level in nearly two years, as the closure of the Strait of Hormuz threatened global supply on the sixth day of the Middle East war. AFP The barrel of West Texas Intermediate (WTI) for April delivery soared 8.51%, to $81.01, its highest level since July 2024. Brent North Sea for May delivery advanced 4.93%, to $85.41, also at highs since mid-2024. According to analysts at Briefing.com, "the conflict continues to intensify and tanker traffic remains halted, with no clear timetable for a return to normal."
TL;DR
- Oil prices reached their highest level in almost two years on Thursday.
- The closure of the Strait of Hormuz is threatening global oil supply.
- West Texas Intermediate (WTI) crude for April delivery rose 8.51% to $81.01.
- Brent North Sea crude for May delivery increased 4.93% to $85.41.
- About 20% of the world's oil and a similar proportion of liquefied natural gas (LNG) pass through the Strait of Hormuz.
- Iran has stated it does not intend to close the strait, but signals have been contradictory.
- Reports indicate an Iranian missile hit a US oil tanker, and a ship near Kuwait suffered an explosion and oil leak.
- Countries are prioritizing their own internal supply due to risks to regional energy infrastructure.
- China has ordered its major refineries to suspend diesel and gasoline exports.
- Iraq is facing export problems and has reduced production at a key field.