Crude oil prices surged on Thursday, climbing back toward the $100-per-barrel mark as fresh disruptions in the Strait of Hormuz and rising doubts over a fragile US-Iran ceasefire reignited supply concerns.
Brent crude rose 2.48% to $97.10 per barrel, while US West Texas Intermediate (WTI) climbed 3.43% to $97.65, sharply reversing the previous session’s decline when prices had dropped to around $90.
The rebound highlights how quickly sentiment has flipped within 24 hours as geopolitical risks returned to the forefront.
Vessel movement through the , with tankers that had begun exiting the region now turning back.
Movement had briefly resumed after the ceasefire announcement, but the situation deteriorated rapidly.
Shipping data indicates that over 1,000 vessels, including nearly 200 loaded tankers, remain in the region, with even normal transit conditions requiring weeks to clear.
Any disruption in the strait, one of the world’s most critical oil chokepoints, risks compounding delays and tightening global supply expectations.
The ceasefire that had briefly calmed markets is , with renewed escalation in West Asia raising concerns over its durability.
This has pushed a geopolitical risk premium back into crude, reversing the optimism that had driven prices lower just a day earlier.
For major oil-importing economies such as India, the rebound in crude is a key concern. Higher prices can fuel inflation, pressure currencies and weigh on corporate margins, with spillover effects across financial markets.
With the situation still evolving, oil markets are likely to remain highly volatile. If disruptions in Hormuz persist or the ceasefire weakens further, crude could move closer to, or even breach, the $100 mark again.