US crude oil prices rose above $90 per barrel on Friday after US President Donald Trump demanded “unconditional surrender” from Iran, intensifying concerns about a prolonged war that could disrupt global energy supplies.
West Texas Intermediate (WTI) futures were up 11.27 percent at $90.14 per barrel, while global benchmark Brent crude rose 8.09 percent to $92.32 per barrel.
US crude has gained nearly 35 percent this week, while Brent has advanced about 28 percent, according to the data provided.
The price surge followed a social media post by Trump in which he issued a direct demand to Iran.
“There will be no deal with Iran except UNCONDITIONAL SURRENDER!,” Trump said.
The conflict between the United States and Iran has spread across the Middle East, affecting energy production and maritime traffic in the region.
Shipping through the Strait of Hormuz, a key global oil transit route, has slowed sharply during the conflict.
The strait connects Gulf oil producers with international markets and handles a significant share of global crude and liquefied natural gas shipments.
The near standstill in tanker movement has raised concerns about the availability of oil supplies in international markets.
Qatar Energy Minister Saad al-Kaabi told the Financial Times that oil prices could reach $150 per barrel if tankers are unable to pass through the Strait of Hormuz.
He said such a disruption could have severe consequences for the global economy.
“This could bring down the economies of the world,” Kaabi told the FT.
Kaabi also warned that energy exporters in the Gulf may declare force majeure if the disruption continues.
“Everybody that has not called for force majeure we expect will do so in the next few days that this continues,” he said.
“All exporters in the Gulf region will have to call force majeure. If they don’t, they are at some point going to pay the liability for that legally, and that’s their choice.”
The increase in oil prices is also reflected in fuel costs.
The average price of regular gasoline in the United States rose by nearly 27 cents over the past week to $3.25 per gallon, according to data from the American Automobile Association (AAA).
The war between the United States and Iran entered its seventh day on Friday.
During a press conference on Thursday, US Defense Secretary Pete Hegseth said US operations in the conflict had only just begun.
“We have only just begun to fight,” Hegseth told reporters.
He said Iran’s expectation that the United States might not sustain the conflict would be a miscalculation.
“Iran is hoping that we cannot sustain this, which is a really bad miscalculation,” he said.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
