Global oil prices breached the $95-a-barrel mark on Wednesday for the first time in six weeks as the escalating U.S.-Iran war and fresh maritime threats threatened deeper disruptions to international energy supplies.
Benchmark Brent crude jumped over 3% to reach a high of $95.24 a barrel following an 11th consecutive night of U.S. airstrikes against Iranian targets, compounded by new threats from Yemen’s Houthi rebels to target vessels carrying Saudi crude through the Bab el-Mandeb strait.
The rapid price surge marks the fastest increase since initial U.S.-Israeli strikes hit Tehran earlier this year, shattering fragile hopes for a lasting ceasefire. Analysts at Goldman Sachs warned that crude could rise to $120 a barrel by the end of the year unless commercial transit through the vital Strait of Hormuz is fully restored.
International Energy Agency (IEA) chief Fatih Birol cautioned that while emergency stockpile releases of 400 million barrels have helped cushion crude supply, global refining bottlenecks mean markets for road fuels, including diesel and gasoline, remain dangerously tight ahead of the winter season.
