What to expect from the oil market after U.S. and Israeli strikes on Iran
Global energy markets are bracing for sharp volatility in oil prices following a large-scale military operation carried out by the United States and Israel against Iran, Qazinform News Agency reports.
Oil prices have been rising over recent weeks amid escalating geopolitical tensions in the Middle East. Over the past month, both key benchmarks have shown solid gains: Brent has increased by approximately 7-11%, while WTI has risen by around 5-10%, reflecting market concerns over a potential widening of the conflict.
Analysts expect the opening of trading early next week to be marked by a sharp jump in prices, with a so-called “war premium” being priced into crude. Additional pressure stems from uncertainty surrounding supplies through the Strait of Hormuz, a route that accounts for a significant share of global oil exports.
On Friday, oil prices climbed by more than 2% after talks between Iran and the United States in Switzerland failed to yield tangible progress. Investors viewed the diplomatic impasse as a signal of rising escalation risks, boosting demand for oil futures even before the military phase of the conflict began.
Earlier, Qazinform News Agency reported that the State of Israel and the United States had launched what they described as a preemptive strike against Iran. Israeli Prime Minister Benjamin Netanyahu announced the start of an operation aimed at eliminating what he called an “existential threat.”
As tensions intensified, several Middle Eastern countries reported missile launches and security threats allegedly linked to Iran’s actions.
