Global oil prices jumped nearly 6 percent on Wednesday after US President Donald Trump declared the interim agreement with Iran “over,” triggering fresh concerns about potential disruptions to Middle East energy supplies and traffic through the strategically vital Strait of Hormuz.
At the latest update, Brent crude was trading at $78.58 per barrel, while West Texas Intermediate (WTI) climbed to $74.76 per barrel as markets reacted to the renewed geopolitical uncertainty.
The price surge followed a series of overnight military exchanges between the United States and Iran, which effectively ended the temporary arrangement that had eased tensions and allowed limited Iranian oil exports. Washington also withdrew the exemption that had permitted Iran to continue selling crude under the previous framework.
Despite the escalation, oil tanker movement through the Strait of Hormuz continued, although shipping companies adopted a more cautious approach due to rising security risks. Some vessels continued their journeys, including an ExxonMobil-chartered supertanker carrying around 2 million barrels of crude, while others reportedly changed course or remained stationary.
Tanker tracking data showed multiple vessels entering or exiting the waterway after Iran was accused of attacking three commercial ships near the coast of Oman. Among the affected vessels were an LNG carrier linked to Qatar and a Saudi-owned crude oil tanker.
Following the incidents, the Joint Maritime Information Center (JMIC) raised the security threat level for the Strait of Hormuz to “Severe,” warning that intentional hostile actions in the region are now considered increasingly likely.
The latest developments have renewed market fears over the safety of one of the world’s most important oil transit routes, through which a significant portion of global energy supplies passes.
