Oil surpasses $100 once more even after record reserve release amid ongoing conflict with Iran

Oil Prices Surge Beyond $100 Amid Escalating Middle East Conflict

A fuel pump at an Exxon Mobil gas station in Cairo, Egypt, photographed on March 11, 2026. - Islam Safwat/Bloomberg/Getty Images

Global oil prices climbed above $100 per barrel overnight, just days after reaching their highest point in four years. This surge comes as ongoing hostilities between the United States, Israel, and Iran continue to disrupt worldwide energy supplies.

The price increase occurred even after 32 nations—including the US and other advanced economies—agreed earlier on Wednesday to release a record volume of oil into the global market.

Market Benchmarks and Price Movements

• Brent crude, the international oil standard, hovered near $100 per barrel overnight Thursday, marking an 8.7% daily rise.
• West Texas Intermediate (WTI), the US benchmark, also jumped 8.7% to reach $94.8.

Impact of Middle East Tensions

The ongoing conflict in the Middle East has led to the effective closure of the Strait of Hormuz—a vital passageway responsible for transporting about 20% of the world's daily oil output. Iranian forces have targeted vessels attempting to pass through, further tightening supply.

As a result, Saudi Arabia, the globe’s top oil exporter, has rerouted its shipments to ports along the Red Sea to bypass the blocked strait. Other Gulf states have also faced attacks on their energy facilities and have scaled back production.

Volatility and Emergency Measures

Oil prices have experienced dramatic swings since US and Israeli forces struck Iran over a week ago. Brent crude nearly reached $120 per barrel on Sunday before easing in the following days. On Wednesday, members of the International Energy Agency unanimously decided to release 400 million barrels from emergency reserves—the largest such action ever taken.

This unprecedented release far exceeds the 182 million barrels deployed in two phases during 2022, following Russia’s full-scale invasion of Ukraine.

Despite these efforts, the return of oil prices above $100 indicates that the measures have not fully reassured investors, who remain concerned about ongoing disruptions from the near-total closure of the Strait of Hormuz.

It is still uncertain whether oil prices will continue to stay above the $100 threshold in the coming hours.

Trading Dynamics

Major oil companies typically hedge their positions during daytime trading. However, overnight markets can be more volatile due to lighter trading volumes and increased speculative activity, as seen in the sharp spike to around $120 on Sunday night, which later stabilized during US trading hours.

Reporting by Hanna Ziady and Nic Robertson for CNN.