Oil prices rise sharply after US, Israeli attacks on Iran
Al Jazeera
March 2, 2026
AI-Generated Deep Dive Summary
Oil prices have surged following US and Israeli military strikes against Iran, with Brent crude climbing 9% to a seven-month high of $79.41 per barrel. The conflict has disrupted global energy supplies, pushing West Texas Intermediate up by 8.6% to $72.79 a barrel. Markets are on edge as President Donald Trump signals that US and Israeli military operations could continue for weeks, while Iran responds with missile strikes across the region.
The situation is particularly concerning due to its potential impact on the Strait of Hormuz, a vital waterway through which about 15 million barrels of oil pass daily. Although the strait remains open, tankers are piling up on either side, hesitant to navigate without insurance or fear of attack. Two vessels were targeted near the strait over the weekend, raising concerns about a potential supply crunch.
Analysts warn that if the conflict escalates further, oil prices could rise even more sharply. Iran’s temporary closure of parts of the strait in February for military drills already caused a 6% spike in oil prices, highlighting how such actions can quickly impact global markets. Meanwhile, OPEC+ countries, including Saudi Arabia and Russia, have announced plans to boost production by 206,000 barrels per day in April—a move aimed at offsetting supply disruptions but one that may not be sufficient given the escalating tensions.
The broader implications of this conflict extend beyond oil prices. Higher energy costs will likely translate into pricier gasoline and goods for consumers, exacerbating inflationary pressures. Meanwhile, Middle Eastern countries like Qatar and UAE are bracing for potential fallout, with some stock markets temporarily closing due to “exceptional circumstances.” The situation is closely monitored by global financial markets, which have seen stocks slide as fears of a prolonged conflict in the region grow.
For readers interested in global affairs, this story underscores how geopolitical tensions can rapidly reshape international energy and economic landscapes. With no immediate signs of de-escalation, the world is on high alert for further developments that could send shockwaves through oil markets and beyond.
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Originally published on Al Jazeera on 3/2/2026