Middle East escalation drives oil prices higher

WTI crude futures jumped nearly 10% during trading and briefly rose above $75 per barrel, marking the highest level in eight months. Prices later pared gains but still remained more than 8% above the previous close. At the same time, Brent crude was trading around $77 per barrel.

As of March 2, WTI crude was priced at about $70.66 per barrel, up 5.43% on the day.

Markets are closely monitoring the situation around the Strait of Hormuz, which handles roughly one fifth of global oil shipments. Despite Tehran’s assurances that the strait remains open, several shipping companies have begun rerouting vessels amid concerns over potential supply disruptions.

Additional pressure came from Iranian strikes on U.S. assets in neighboring countries, including the United Arab Emirates, Bahrain, Kuwait, Qatar, Saudi Arabia, Jordan, Iraq, and Syria.

Against this backdrop, the decision by OPEC+ to increase oil output in April by 206,000 barrels per day failed to significantly calm the market. The increase represents less than 0.2% of global demand and, according to analysts, does not offset heightened geopolitical risks.

Earlier, Qazinform News Agency reported that global energy markets were bracing for increased volatility following the U.S. and Israeli strikes on Iran, with oil prices already on an upward trajectory amid rising regional tensions.