Global oil benchmark hits 6-month high amid fears of U.S.-Iran conflict

MarketWatch

by Jamie Chisholm

February 19, 2026

AI-Generated Deep Dive Summary

Global oil prices surged this week as tensions between the U.S. and Iran escalated, pushing Brent crude futures to a six-month high. The benchmark surpassed $71 per barrel on Thursday, driven by concerns over potential disruptions to oil supplies following threats of a U.S. military strike on Iran. This upward movement reflects growing uncertainty in global markets, with fears that conflict could disrupt the Strait of Hormuz, a critical chokepoint for oil shipments. The rise was particularly notable for Brent crude, which gained ground despite differing performance across other markets. While U.S.-traded light sweet crude futures also saw an increase, climbing 1.4% to $66 per barrel, the disparity highlights divergent market reactions. Analysts suggest that geopolitical tensions are a key driver, with investors weighing the potential impact on global energy supplies and trade routes. This situation underscores the delicate balance of global oil markets, where even minor supply disruptions can have significant consequences. The Strait of Hormuz, through which around 20% of all seaborne石油 passes, remains a flashpoint. Any conflict could lead to production halts or increased insurance costs for tanker shipments, further straining supplies and potentially pushing prices higher. For financial markets, this development comes amid broader concerns over inflation and energy costs. Investors are closely monitoring the situation, as oil price volatility can influence economic growth, especially in regions dependent on imported energy. The outcome of U.S.-Iran relations will likely shape market sentiment in the coming weeks, with implications for both producers and consumers globally. In summary, the current spike in oil prices is a direct reflection of geopolitical tensions and their potential impact on global energy security. As markets remain on edge, the situation serves as a reminder of how fragile international trade routes can be—and how quickly they can affect financial stability worldwide.

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Originally published on MarketWatch on 2/19/2026