Oil Prices Surge on Monday
Brent crude jumped 7.7 % to $78.49 per barrel, while U.S. WTI rose 7.5 % to $71.96 per barrel. The rally was driven by maritime traffic disruptions in the Strait of Hormuz following Iranian retaliation.
- The strategic waterway, through which one‑fifth of the world’s oil and 20 % of liquefied natural gas pass, saw more than 200 vessels forced to anchor outside the strait.
- Tensions are escalating: Israel is conducting strikes against Iran and Hezbollah in Lebanon, while Iran is responding on multiple fronts, including the Gulf.
This uncertainty fuels fears of a prolonged price increase, with crude potentially climbing to $90–$100 per barrel if a sustained blockage occurs.
Analysts’ view:
Despite the price surge, experts stress that the current shock is geopolitical rather than systemic.
Market Response
- OPEC announced a production increase of 206,000 barrels per day in April to ease market pressure.
- Shares of energy companies—TotalEnergies, Maurel & Prom, Shell, among others—are also on the rise.
