Crude oil jumps more than 8%, raising fears of a global energy crisis.
Oil prices have surged dramatically in response to the escalating US–Iran conflict. As of March 2, 2026, major crude benchmarks climbed sharply — with Brent and West Texas Intermediate futures jumping up to around 8 –10 % in early trading as traders priced in heightened geopolitical risk and potential supply disruptions through the Strait of Hormuz, one of the world’s most critical oil‑shipping chokepoints. Analysts warn that prolonged hostilities could push prices even higher, putting further pressure on global energy markets and inflation.
This surge follows U.S. and Israeli strikes on Iran that killed Supreme Leader Ayatollah Ali Khamenei and other senior officials, disrupting global oil supplies and stoking fears of further escalation in the Middle East.
Brent crude initially surged over 12% to $82 following the weekend’s military actions, before settling near $80 in early trading. Reuters reports similar movements, noting Brent jumped about 10% to $80 before paring some gains.
With OPEC+ adjusting output and tensions threatening the Strait of Hormuz, analysts caution that oil prices could soar to $100 if the conflict persists.
The New York Times reports that oil prices rose 10% at market open, surpassing $80 a barrel, highlighting economic risks from restricted supplies in a key producing region and the potential for sustained higher costs for consumers worldwide. Meanwhile, CNN notes that U.S. crude climbed roughly $5 per barrel to around $72.
Experts warn that heightened volatility in energy markets could push U.S. gasoline prices well above $3 per gallon if the Middle East conflict persists, complicating economic recovery efforts amid ongoing supply fears. While natural gas has so far seen only modest gains, broader energy markets remain on edge as Iran’s retaliatory strikes and threats to key shipping routes keep traders cautious.
