Brent Crude Prices Surge Amid Middle East Tensions, On Track for 17% Weekly Gain

Oil Prices Surge Amid Increased Tensions

Oil prices experienced a notable increase on Friday, driven by escalating tensions in the Middle East following recent military actions by Iran. According to reports, Iran released footage showing their special forces boarding a commercial vessel in the strategic Strait of Hormuz, which raised concerns in the global markets.

Brent Crude and WTI Prices Rise

Brent crude futures for June rose by 0.5%, translating to an increase of $0.51, reaching $105.58 per barrel as of 08:04 a.m. Makkah time. Meanwhile, the West Texas Intermediate (WTI) crude futures for the same month grew by 0.2%, or $0.21, bringing the price to $96.06 per barrel.

This upward trend is significant as Brent crude has amassed a more than 17% increase over the past week alone, whereas WTI has gained over 15%. These figures mark one of the largest weekly gains seen since the onset of the current conflict, highlighting the volatility of oil prices attributed to geopolitical factors.

Anticipation of Rig Count Data

Market participants are also keenly awaiting the release of the U.S. oil and gas rig count data from Baker Hughes, expected later today. This data will be critical to assess the future supply outlook from the United States and how it will influence price movements in the global oil market.