Noida, July 23 (APAC Media): Brent crude surged to a fresh six-week high above $96 a barrel on Thursday, extending its rally for a fifth consecutive session as intensifying tensions in the Middle East fuelled concerns over potential disruptions to global oil supplies.
Brent crude futures for September delivery advanced 2.37% to $96.24 a barrel, while West Texas Intermediate (WTI) crude futures rose 1.65% to $88.26 a barrel as of 12:10 p.m. IST.
US President Donald Trump warned that Washington would target Iranian infrastructure if Tehran launched attacks on vessels passing through the Strait of Hormuz, while Iran threatened retaliatory action against US-linked energy assets across the region.
“From now on, if the Islamic Republic of Iran launches an attack on any vessel in the Strait of Hormuz using missiles, rockets, drones, or any other weapon, the United States will respond by bombing and destroying a bridge or power facility. Such targets could include infrastructure located near or within Tehran, the capital city,” Trump stated in a Truth Social post on Wednesday evening.
Brent Crude Hits Six-Week High Above $94 as Middle East Tensions Rattle Oil Markets
Meanwhile, Iran-backed Houthi militants targeted two Saudi oil tankers in the Red Sea with missiles and drones, marking the first direct attacks on tankers in the strategic waterway and fuelling concerns over a key alternative export route for Saudi crude.
Muzhar Saleh, financial adviser to Iraq’s prime minister, told the news agency that the country has suffered significant revenue losses since the US-Israel war with Iran began in February.
“Due to a 90% decline in oil exports, along with weaker economic growth rates, Iraq’s estimated losses reached between $40bn and $45bn by June 2026,” Saleh said.
He warned that losses could rise to $50bn if the Strait of Hormuz remains closed.
Energy Commodities Prices Rise — Market Snapshot ($)
| Commodity | Current Price ($) | Daily Change ($) | % Change |
|---|---|---|---|
| 🛢️ Brent Crude | $97.76 | ▲ $3.69 | +3.92% |
| 🛢️ Crude Oil | $89.53 | ▲ $2.70 | +3.11% |
| ⛽ Gasoline | $3.48 | ▲ $0.06 | +1.87% |
| 🔥 Natural Gas | $2.97 | ▲ $0.05 | +1.63% |
Prior to the escalation, Iraq was producing around 4 million barrels of oil per day, with approximately 3.5 million barrels exported daily, largely through the Strait of Hormuz.
The escalation opened a new front in the conflict, with risks to maritime traffic through both the Red Sea and the Strait of Hormuz intensifying. US forces carried out a 12th consecutive day of strikes against Iranian targets, while Washington and Tehran continued to play down the likelihood of peace negotiations.
Traders are increasingly aware of shipping risks, higher insurance costs, and the potential for further attacks on tankers or energy infrastructure. on shipping risks, higher insurance costs and the potential for further attacks on tankers or energy infrastructure.
The latest attacks followed a decision by several Saudi crude tankers heading to India and China to change course earlier this week after receiving warnings from Houthi militants.
Meanwhile, US government data showed an unexpected increase in crude inventories.
The US Energy Information Administration (EIA) reported that commercial crude stockpiles rose by 2.0 million barrels to 411.7 million barrels in the week ending July 17, against market expectations for a decline.
Gasoline inventories increased by 0.8 million barrels, while distillate stockpiles rose by 1.4 million barrels. Total commercial petroleum inventories climbed by 11.6 million barrels during the period.
–ENDS–
Disclaimer: This article is for informational purposes only. APAC Media is not liable for any investment decisions or losses. Please conduct your own research or consult a financial advisor before investing.
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