Global crude oil prices surged more than 3% on Tuesday due to geopolitical tensions and US President Donald Trump’s ultimatum to reopen the Strait of Hormuz to Iran. Brent crude futures rose by 1.69% to $111.63, while US West Texas Intermediate crude futures went up by over 3% to $116.56.
Since the conflict began, Brent crude has seen a significant increase of over 60%, rising from $72.48 on February 27 to $119.50 on March 9. The surge in oil prices follows President Trump’s recent aggressive stance towards Iran on social media, particularly regarding the Strait of Hormuz.
President Trump’s online posts indicated a strong warning to Iran, stating severe consequences if Tehran fails to meet his deadline for reopening the strait. He threatened potential military action, emphasizing that Iran could face devastating attacks if they do not comply with his demands.
Iran has reportedly rejected any ceasefire proposals and continues to resist against the US. The ongoing conflict has disrupted the Strait of Hormuz, a crucial route for global oil transportation, leading to a 90% increase in crude oil prices this year, averaging around $100 per barrel.
