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The Emirates News Agency reported that oil prices jump 9%, Brent rises to $83.30 per barrel amid renewed supply fears linked to actions by the Trump administration. West Texas Intermediate crude posted comparable gains, climbing more than 8 percent in the same session to settle above $79 per barrel. Trading Economics figures show Brent reached as high as $83.72, marking an increase of 10.15 percent from the previous close and extending a rally that has lifted the benchmark more than 20 percent from year-earlier levels.
Market participants cited the reimposition of a blockade as a central factor in the abrupt price movement, with potential implications for flows through key chokepoints such as the Strait of Hormuz. A Morgan Stanley assessment referenced in multiple outlets warned that closure of the strait could push Brent toward $150 per barrel under certain scenarios, though such an extreme has not materialized. The price action on July 14 reversed recent monthly softness, during which Brent had declined 1.32 percent before the latest spike.
According to data compiled by Barchart, the July 2026 Brent futures contract settled near $93 in preceding weeks, indicating that near-term volatility has remained elevated even as longer-dated contracts reflect differing expectations. The International Energy Agency has separately projected global oil demand to average 103.4 million barrels per day in 2026, a baseline that leaves little margin for supply disruptions. OPEC data places current spare capacity at roughly 3.5 million barrels per day, concentrated among a handful of Gulf producers.
The rally arrives against a backdrop of broader commodity strength, with gold trading above $5,200 per ounce in related safe-haven flows reported by the same WAM dispatch. Analysts at Trading Economics forecast Brent to average $78.61 by the end of the current quarter before rising toward $88 over the next 12 months. Year-to-date gains now exceed 18 percent, building on recoveries that followed inventory draws in the first half of 2026.
Industry sources noted that commercial stockpiles in the United States have fallen below the five-year seasonal average, according to Energy Information Administration weekly releases. Refiners have increased run rates to meet summer fuel demand, tightening the physical market at a time when headline risks dominate trading. The price surge has already prompted margin calls across futures positions, amplifying intraday moves.
Further gains could depend on developments around the blockade and responses from producing nations, the Emirates News Agency indicated in its coverage. Brent last touched comparable levels in late 2025 before easing on improved supply expectations from non-OPEC producers. The current episode marks one of the largest single-day percentage gains since the volatility spikes of 2022.
