The effective closure of the Strait of Hormuz continued to reverberate through global energy markets Thursday, with Brent crude pushing back above $100 a barrel amid fresh Iranian military strikes. The strait — a narrow waterway connecting the Persian Gulf to global ocean shipping routes — has been impassable since the conflict began on February 28. With no diplomatic solution in sight, traders braced for further volatility.
Iran struck oil ports, tankers, and fuel infrastructure across Bahrain, Iraq, and Oman in what appeared to be a coordinated economic offensive. The Thai vessel Mayuree Naree was attacked near the strait, leaving three crew members feared trapped. Iraq halted all crude exports from its main ports while Oman moved ships out of its Mina Al Fahal terminal.
Brent crude peaked at $100.29 a barrel Thursday, representing a 9% intraday gain, before retreating to around $98. The price has roughly doubled since the year began at around $60 a barrel. Earlier in the week, oil had surged to $119 before retreating sharply on ambiguous remarks from President Trump about the war’s conclusion.
The International Energy Agency’s coordinated release of 400 million barrels of emergency crude was the largest in the body’s history, but it was quickly overshadowed by new violence. The United States announced it would contribute 172 million barrels from its strategic reserves over roughly 120 days. Energy Secretary Chris Wright said the action was necessary because Iran had deliberately threatened American and allied energy security.
Goldman Sachs revised its Brent outlook upward, now expecting $71 a barrel in the final quarter of 2026. Deutsche Bank’s Jim Reid cautioned that markets are increasingly factoring in a prolonged conflict with serious economic consequences. The risk of stagflation — a combination of stagnant growth and rising prices — is emerging as a central concern among global investors.