Middle East tensions impact global oil markets

Following an exchange of military strikes between Israel and Iran that threatened a fragile ceasefire established on April 8, 2026, global oil prices experienced significant volatility. On June 8, Brent crude rose by over 5%, reaching approximately 97 dollars per barrel, while WTI hovered near 95 dollars. By June 9, prices fell below 90 dollars for Brent and 86 dollars for WTI after U.S. President Donald Trump indicated that a diplomatic agreement with Iran might be near. Tensions remain high as both nations maintain a blockade near the Strait of Hormuz, hindering commercial traffic. U.S. officials have described the Israeli strikes as limited, while ongoing peace negotiations to end the conflict are reportedly in their final stages. Meanwhile, European natural gas prices also saw a temporary spike of over 4% amid the regional uncertainty. Market observers noted that despite the volatility, oil exports through the Strait of Hormuz have shown signs of gradual recovery according to U.S. Energy Secretary Chris Wright.