ع
Reuters reported that Brent crude futures advanced 81 cents, or 0.8 percent, to $108.44 a barrel in early Asian trading while U.S. West Texas Intermediate crude gained 69 cents, or 0.7 percent, to $103.17. Both contracts posted gains exceeding 6 percent on Thursday and stood nearly 13 percent higher on the week, the largest such increase since the period ended July 17. The surge marks the first time since mid-May that the benchmarks are set to finish a week above the $100 level, reflecting heightened concerns over potential supply interruptions.
Attacks along critical waterways have accelerated in recent days, with Iran-aligned Houthis seizing control of Yemen’s port of Mocha on Thursday in a move that further endangers Red Sea shipping lanes. Gulf traffic has faced increasing restrictions through the Strait of Hormuz where tanker incidents have multiplied, according to Reuters. These developments have compounded fears that disruptions could extend beyond temporary interruptions and affect broader regional energy flows for an extended period.
Iran stated that it targeted 10 ships near the Strait of Hormuz on Wednesday in response to the U.S. striking five Iranian oil tankers earlier. The Islamic Revolutionary Guard Corps indicated it would broaden its responses to any additional actions, Reuters reported. Such exchanges have contributed to a spiral in regional tensions that analysts warn could sustain pressure on global oil supplies.
IG analyst Tony Sycamore said, “With events spiraling and Iran showing it is willing to stretch this conflict as wide and as long as it can, it is becoming increasingly likely that WTI crude will retest the $119.48 high from early March.” The comment underscores market expectations for further upside if hostilities persist without resolution. Earlier Reuters coverage noted that oil had already surpassed $100 multiple times in 2026 during peak conflict phases before retreating in calmer intervals.
Separate Reuters dispatches from the prior week highlighted fresh strikes on Saudi Aramco facilities in Jazan and other energy infrastructure, which amplified the supply risk premium across trading desks. These incidents follow a pattern of escalation that began with U.S. actions against Iranian assets and has since drawn in Houthi operations targeting vessels in the Bab al-Mandeb strait. Industry participants continue to monitor the volume of oil moving through alternative routes as a gauge of potential market tightness.
Data compiled by Reuters showed that the weekly advance outpaced recent months of relative stability even as global inventories remained adequate heading into the latest flare-up. The developments arrive against a backdrop of repeated warnings from market participants about the vulnerability of chokepoints that handle roughly one-fifth of seaborne crude shipments under normal conditions. Traders have adjusted positions rapidly in response to each new incident reported from the region.
