The international oil market is recording a significant upward trend in early week trading, with prices moving to high levels. The escalation of military conflict between the US, Israel and Iran, which began on February 28, continues to decisively impact the global energy market. Statements by American and Israeli officials over the weekend confirmed that operations will continue for several more weeks, causing concern among investors.
Significant increase in crude oil prices
American crude oil West Texas Intermediate, known as WTI, recorded a 1.78% price increase, reaching $100.10 per barrel for May delivery. The rise was recorded hours after the opening of the Chicago commodities market. Meanwhile, North Sea Brent oil showed a corresponding upward movement, with a 1.73% increase, setting its price at $113.44 per barrel for the same delivery period.
The impact of the Strait of Hormuz on the energy market
The Strait of Hormuz, one of the most critical hydrocarbon transportation routes globally, has suffered serious disruption due to hostilities. The paralysis of oil transport through this strategic maritime route has created concerns about global energy security. Analysts estimate that continuation of the conflict will keep prices at high levels, affecting both consumers and economies worldwide.
Comparative price analysis before and after the crisis
The difference in oil prices before and after the onset of hostilities is striking. On February 27, one day before the American-Israeli operation against the Islamic Republic of Iran, WTI traded at $67.02 per barrel, while Brent was at $72.48. This means that within a few weeks, American crude oil has posted a rise of approximately 49%, while the European equivalent has increased by 56%.
Prospects and forecasts for the energy market
Energy market experts warn that prolonged instability in the Persian Gulf region will continue to pressure oil prices. The interruption of exports from Iran, combined with shipping restrictions through the Strait of Hormuz, creates significant challenges for global supply. Analysts estimate that if the situation does not de-escalate soon, crude oil prices could move to even higher levels in the coming weeks.
