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Brent crude futures advanced 1.2 percent to settle at approximately $78.80 a barrel while West Texas Intermediate crude gained a comparable amount to reach near $74.30, figures tracked by Trading Economics indicated. The gains reversed portions of earlier losses and reflected market positioning ahead of further developments in the Gulf region. Market participants cited persistent uncertainties around Iranian oil exports and shipping safety as key factors supporting the uptick.
The Emirates News Agency reported the more than 1 percent increase in its coverage of Thursday trading activity. The agency placed the movement in the context of recent policy shifts by Washington that revoked authorizations for Iranian crude sales. Such steps have contributed to renewed volatility across energy benchmarks this week.
A Reuters dispatch detailed how oil futures had settled about 3 percent higher earlier in the week after Iranian attacks on commercial vessels in the Strait of Hormuz and subsequent U.S. strikes. The news service noted that Ukrainian drone actions targeting Russian tankers added to the supply-side pressures. Post-settlement trading saw additional climbs as investors digested the layered risks to energy flows.
The U.S. Energy Information Administration projected in its latest Short-Term Energy Outlook that Brent crude would average $74 per barrel during the third quarter of 2026. The forecast assumes continued inventory accumulation that would exert downward pressure over time. Geopolitical flares, however, could push actual prices away from this baseline according to the agency.
Bloomberg commodity updates showed oil prices in 2026 have experienced sharp swings tied to conflicts involving Iran that at one point drove benchmarks above $110 a barrel. Current levels stand below those peaks but remain elevated compared with pre-conflict averages from January. Traders continue to monitor statements from U.S. leadership regarding the durability of any ceasefire arrangements.
Industry assessments consistently highlight that roughly one-fifth of global seaborne oil trade transits the Strait of Hormuz, a chokepoint vulnerable to disruption. Multiple energy sector reports have flagged rising insurance premiums and rerouting costs for vessels in response to recent incidents. This dynamic has amplified the market’s sensitivity to any escalation in regional hostilities.
The price advance occurred alongside broader financial market reactions including declines in equity indices as participants weighed potential impacts on inflation and growth, an Associated Press overview stated. Economists tracking the sector anticipate that sustained higher energy costs could influence monetary policy decisions in coming months. Additional clarity may emerge from forthcoming data on global inventories and OPEC+ production targets.
