Global oil prices surged past $120 on Thursday, briefly touching $122, the highest level since 2022 as fears of prolonged supply disruptions intensified amid a deadlock in talks to end the US conflict with Iran.
Brent crude for June delivery rose around 1.9% to near $120 a barrel, while US West Texas Intermediate (WTI) edged up to about $107. The rally builds on strong gains from the previous session, when Brent jumped nearly 6% and WTI surged 7%, extending a streak of rising prices over several days.
The spike comes after US President Donald Trump directed officials to prepare for a prolonged blockade of Iran, tightening pressure on global energy supplies.
Speaking to Axios, Trump signaled that the US naval blockade would remain in place until Tehran agrees to a nuclear deal. “The blockade is somewhat more effective than the bombing. They are choking like a stuffed pig. And it is going to be worse for them. They can’t have a nuclear weapon,” he said.
Trump also rejected Iran’s proposal to reopen the Strait of Hormuz before negotiations begin, insisting that Tehran must first address US concerns. While describing the blockade as his primary strategy, he indicated that military options remain available, though he did not provide details.
Tensions have effectively choked shipping through the Strait of Hormuz, a vital corridor that typically carries about one-fifth of the world’s oil and LNG supply, since US and Israeli air strikes on Iran began on February 28.
Iran has largely restricted shipping through the strait, allowing only its own vessels. In response, the US has stepped up its blockade of Iranian ships this month.
Times of India
