London: Oil prices jumped sharply in global markets as fears increased that the expanding conflict involving the United States, Israel and Iran could disrupt energy supplies from the Middle East.
Brent crude, the international oil benchmark, climbed to around 119 dollars per barrel during trading, reaching its highest level since 2022. The United States benchmark West Texas Intermediate also rose above 100 dollars per barrel as traders reacted to the growing risks in the region.
The surge in oil prices came after the war intensified and raised concerns that key shipping routes for oil could be affected. The Strait of Hormuz, one of the world’s most important energy corridors, has become a major point of concern. Nearly one fifth of the world’s oil supply passes through this narrow waterway, and any disruption there could quickly affect global markets.
Energy analysts say tanker traffic in the Gulf has slowed as shipping companies and insurers assess security risks. Some oil tankers have reportedly waited outside the region due to fears of attacks or military activity.
At the same time, oil production in parts of the Middle East has already been affected. Reports indicate that Iraq has significantly reduced output at some southern oil fields because of security concerns. Kuwait has also taken precautionary measures and reduced production in response to the tensions.
Saudi Arabia has begun diverting some of its oil exports through pipelines that send crude to the Red Sea in order to avoid the most sensitive Gulf shipping routes. This move is aimed at protecting supplies and ensuring exports continue despite the rising tensions.
The sharp increase in oil prices has also unsettled global financial markets. Stock markets in Europe and Asia have fallen as investors worry about rising energy costs and their impact on economic growth.
Several governments are closely monitoring the situation and may consider releasing strategic oil reserves if supply disruptions worsen. Analysts warn that oil prices could rise even further if the conflict continues or spreads to more countries in the region.
For now, energy markets remain highly volatile as traders watch developments in the war and assess the risk to one of the world’s most critical oil producing regions.