Global oil prices have climbed above $100 a barrel for the first time in more than three and a half years as the escalating war involving Iran disrupts energy production and shipping routes across the Middle East. US President Donald Trump described the surge as a “very small price to pay for world peace.”
In a post on X, Trump said rising oil prices were a temporary consequence of the conflict. “Short-term oil prices, which will drop rapidly when the destruction of the Iran nuclear threat is over, is a very small price to pay for USA and world safety and peace. Only fools would think differently,” he wrote.
The spike in oil prices reflects growing fears that the conflict could severely disrupt global energy supplies. Brent crude, the international oil benchmark, rose to around $101.19 per barrel shortly after trading resumed on the Chicago Mercantile Exchange, marking an increase of more than 9% from Friday’s closing price of $92.69.
US benchmark West Texas Intermediate (WTI) climbed even higher, reaching about $107.06 a barrel—roughly 16% above its previous closing level of $90.90.
The latest surge follows a dramatic rise last week, when US crude prices jumped nearly 36% and Brent crude increased by about 28%. The war, now in its second week, has drawn in countries and regions critical to global oil production and transportation, raising concerns about prolonged supply disruptions.
One of the biggest concerns for energy markets is the Strait of Hormuz, a narrow but strategically vital shipping route for global oil supplies. According to research firm Rystad Energy, about 15 million barrels of oil—nearly one-fifth of the world’s daily supply—normally pass through the strait each day.
However, the threat of missile and drone attacks linked to the conflict has significantly reduced tanker traffic through the waterway. The strait runs along Iran’s southern coast and serves as the primary export route for oil and gas from major producers including Saudi Arabia, Iraq, Kuwait, Qatar, Bahrain and the United Arab Emirates.
Export disruptions are already affecting production levels across the region. Iraq, Kuwait and the UAE have reportedly reduced oil output as storage facilities fill up due to difficulties in shipping crude overseas.
At the same time, the conflict has directly targeted energy infrastructure. Iran, Israel and the United States have carried out strikes on oil and gas facilities since the fighting began, intensifying concerns about tightening global oil supply.
