The escalating military conflict between Iran and the United States has pushed global crude oil prices sharply higher. Brent crude surged past $96 per barrel on Wednesday, inching closer to the critical $100 mark as missile strikes and retaliation rattled energy markets. The fresh wave of violence threatens to deepen the ongoing energy crisis amid the blockade of the vital Strait of Hormuz.
Brent Crude Hits $96.56 as WTI Crosses $91
International benchmark Brent crude rose $1.91 to trade at $96.56 per barrel during early Wednesday trading. West Texas Intermediate climbed $1.61 to reach $91.83 per barrel. Both benchmarks recorded gains of over 1.5 percent on Wednesday following a sharp spike of over $4 on Tuesday.
US and Iran Trade Missile Strikes in Sharp Escalation
America launched airstrikes on Iranian positions early this week, triggering immediate retaliation from Tehran. US Central Command stated the attacks targeted Iranian Revolutionary Guard Corps elements that had recently attempted to strike commercial vessels and American forces in the Strait of Hormuz. Iran responded by firing ballistic missiles at a US military base in Jordan, claiming significant American casualties.
Strait of Hormuz Blockade Worsens Global Supply Crunch
The Iranian Revolutionary Guard Corps warned that US strikes would further restrict access through the Strait of Hormuz. One-fifth of the world’s total oil consumption once passed through this narrow waterway, but Iran has now effectively closed it to commercial shipping. Two oil tankers leaving Hormuz were attacked on Monday, severely disrupting supply and forcing traders to seek alternative routes.
Regional Fallout Spreads as Kuwait Deploys Military
The IRGC claimed a large number of American casualties from its ballistic missile strikes. Jordan’s military intercepted 10 of 13 incoming missiles, destroying them mid-air. Iranian media reported a large-scale drone attack on a US base in Bahrain as well. Kuwait has deployed its armed forces to counter hostile drone activity in its airspace. This marks the most serious confrontation between Iran and the US since July 2026.
