Oil prices moved higher on Friday. The market is now heading for a strong weekly gain. Traders are reacting to rising tensions in the Middle East. The conflict is raising fears about global oil supply.
Brent crude for May delivery rose about 2.4% and traded near $87.48 per barrel. U.S. West Texas Intermediate crude was around $84.42 per barrel. Prices have climbed sharply since the fighting began earlier this week.
In the last 4 trading sessions alone, Brent crude has jumped about 18%. U.S. WTI crude has surged nearly 21%. This rapid rise shows how nervous the market has become.
Energy traders are closely watching every update from the region. Any sign of supply disruption could send prices even higher.
Middle East conflict pushes oil prices higher
The conflict in the Middle East entered its seventh day on Friday. Fighting between the United States, Israel, and Iran continues to intensify. There have been missile strikes and retaliatory attacks across the region.
Some energy facilities have also faced disruptions. This has added more pressure to global oil markets.
Analysts say the market remains tense because there are few signs of the conflict slowing down. Every passing day without stable energy flows increases uncertainty.
Market experts believe oil prices could keep rising if the fighting continues. The longer the disruptions last, the more the market will price in lost supply.
Strait of Hormuz risk becomes biggest oil market concern
One area getting the most attention is the Strait of Hormuz. This narrow waterway lies between Iran and Oman. It is considered the most important oil shipping route in the world.
About 20% of global oil supply moves through this strait every single day. Tankers carrying crude from Gulf countries rely on this route to reach global markets.
If shipping through the strait slows or stops, global supply could tighten very quickly. That would likely push oil prices much higher.
A new warning from Qatar’s energy ministry has also added to the fear. Officials reportedly said Gulf states may have to stop exports within weeks if the situation worsens. Some analysts believe such a scenario could push oil prices as high as $150 per barrel.
Russian oil supply move offers temporary relief
There was one move aimed at calming the market. The United States announced it will allow India to buy Russian oil for the next 30 days.
This step may help ease supply pressure in the short term. However analysts say it will not change the overall situation.
Energy experts believe the real solution depends on the Strait of Hormuz. Oil prices may only stabilize if shipments through the route continue without disruption.
Rising oil prices could also affect the global economy. Higher fuel costs often push inflation higher. This could make it harder for central banks to cut interest rates.
For now governments appear cautious. Reports say the U.S. administration is not planning to intervene directly in oil futures markets through the Treasury Department.
The oil market will remain highly sensitive in the coming days. Traders are watching the Middle East closely as the conflict continues to unfold.