Global oil prices saw a sharp increase on Monday after comments made by Donald Trump raised concerns about a possible escalation in tensions with Iran. The international benchmark Brent crude crossed $116 per barrel during trading, reflecting growing uncertainty in global energy markets.
The price of Brent crude initially climbed to around $116.5 per barrel before slightly easing, while US benchmark West Texas Intermediate (WTI) also rose above $101 per barrel. The surge comes after Trump stated in an interview that he wants to “take the oil in Iran,” suggesting potential control over key oil infrastructure, including Kharg Island, which is responsible for a large share of Iran’s oil exports.
These remarks have increased fears that the ongoing conflict in the Middle East could intensify further. Oil prices have already risen significantly in recent weeks, gaining more than 50% in March alone, largely due to the ongoing war involving the United States, Israel, and Iran. The situation worsened after Iran disrupted traffic through the Strait of Hormuz, a critical route for nearly one-fifth of the world’s oil supply.
At the same time, there are mixed signals regarding diplomacy. Trump mentioned that negotiations with Iran were progressing and that Tehran had agreed to several key demands. However, Iranian officials have shown skepticism, and tensions remain high on the ground.
Adding to the uncertainty, regional developments have also contributed to market concerns. Iran-backed groups in Yemen have reportedly launched attacks, raising fears that other key shipping routes, such as the Bab al-Mandab Strait, could also be affected. Any disruption in these routes could further impact global oil supply and prices.
Global markets reacted cautiously to the developments. Stock markets in Asia recorded losses, while European markets showed limited gains. Analysts say investors remain worried about the possibility of a prolonged conflict, which could lead to higher inflation and slower economic growth worldwide.
Experts believe that until there is clarity on the geopolitical situation, oil prices are likely to remain volatile. The ongoing uncertainty in the Middle East continues to play a major role in shaping global energy markets and economic outlook.
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