Oil prices surged on Friday, with U.S. crude futures rising more than 12% as buyers sought alternative supplies amid the effective closure of the Strait of Hormuz during the escalating U.S.–Israeli conflict with Iran.
Brent crude futures settled at $92.69 per barrel, up $7.28, or 8.52%, while U.S. West Texas Intermediate (WTI) crude settled at $90.90, up $9.89, or 12.21%. It marked the second straight session in which WTI gains outpaced those in Brent, narrowing the spread between the two benchmarks.
Analysts noted that refiners and traders are increasingly turning to U.S. crude as Middle Eastern supplies remain constrained. The United States, currently the world’s largest oil producer, is seen as one of the few sources capable of supplying additional barrels to global markets during the disruption.
The conflict has sharply curtailed shipping through the Strait of Hormuz, a critical waterway that normally carries roughly 20% of global oil supply. With tanker traffic largely halted for a seventh consecutive day, an estimated 140 million barrels of crude — equivalent to roughly 1.4 days of global demand — has been unable to reach the market.
The disruption has triggered shutdowns and precautionary cuts across the region’s energy infrastructure, including refineries and liquefied natural gas facilities. The market is increasingly pricing in the risk of prolonged supply disruptions if the conflict continues.
Oil prices are now on track for their largest weekly gain since the extreme volatility seen during the early months of the COVID-19 pandemic in 2020. Some analysts warn that if exports from Gulf producers are further curtailed, prices could move significantly higher. Qatar’s energy minister told the Financial Times that a scenario in which Gulf producers suspend exports could potentially push crude prices toward $150 per barrel.
Despite rising fuel prices, U.S. President Donald Trump said he was not concerned about the impact on gasoline costs, stating that “if they rise, they rise.” The Trump administration also ruled out using the U.S. Treasury Department to intervene directly in oil futures markets, although it has granted waivers allowing some companies to purchase sanctioned Russian crude to ease supply pressures.