Global Oil Prices Exceed $100 Due to Conflict in the Persian Gulf
At the beginning of March 2026, global oil prices surged sharply, reaching their highest levels since mid-2022. This was caused by supply cuts from key producers and the escalation of military conflict between the USA, Israel, and Iran in the Persian Gulf region.
This is reported by AgroReview
Oil Price Surge: Record Levels in Four Years
The price of Brent crude oil surpassed $100 per barrel for the first time in nearly four years, which is 50% higher than before the start of the joint military operation by Israel and the USA against Iran. WTI crude oil also hit price highs, reaching levels not seen since July 2022. Analysts report a 29% increase in Brent prices and a 31% increase in WTI prices.
Brent futures rose by $24.96, or 27%, reaching $117.65 per barrel. American WTI oil increased by $25.72, or 28.3%, to $116.62 per barrel – the largest one-day jumps in recent years.
Impact of the Conflict and Supply Disruptions
Experts note that markets are particularly concerned about the situation around the Strait of Hormuz, through which about one-fifth of the world’s oil exports pass. Disruptions in tanker movement and increased security risks have already slowed shipping, making Southeast Asian countries more vulnerable to market changes due to their dependence on oil supplies from the region.
At the same time, Iraq and Kuwait announced additional cuts in oil production, while Qatar previously limited the export of liquefied natural gas. The United Arab Emirates and Saudi Arabia are expected to join the cuts soon.
“If the flow of oil through the Strait of Hormuz does not resume soon, and regional tensions do not decrease, price pressure is likely to persist,” said Vasu Menon, Managing Director of Investment Strategy at OCBC (Oversea-China Banking Corporation) in Singapore.
The armed confrontation has resulted in significant losses: in the first wave of strikes on February 28, Iran’s Supreme Leader Ayatollah Ali Khamenei and several other high-ranking officials were killed. In response, Iranian military forces attacked not only Israel and US facilities but also neighboring countries that Tehran considers allies of the United States. As a result of the strikes, six American soldiers were killed, and there are casualties among the civilian population in the region.
According to the human rights organization HRANA, from the beginning of the conflict on February 28 to March 3, 1097 civilian deaths and 5402 injuries, including children, were recorded in Iran. The organization also reported damage to military facilities, medical institutions, and residential areas across the country.