New Delhi, April 3: Global crude oil prices saw a significant spike on Friday. Concerns over supply escalated after U.S. President Donald Trump warned of a potential military strike on Iran in the coming weeks.
Brent crude futures surged by 8 percent, reaching $109.24 per barrel, while U.S. West Texas Intermediate (WTI) futures traded at $111.54 per barrel.
During the week, WTI crude recorded an increase of 11.94 percent compared to the previous Friday, while Brent crude experienced a decline of 3.14 percent in the same period.
The ongoing conflict in West Asia has now entered its fifth week, disrupting the supply of millions of barrels of oil daily from the global market. This has driven energy prices to multi-year highs, causing fuel shortages in countries reliant on supplies passing through the Strait of Hormuz, which accounts for nearly 20 percent of the world’s oil supply.
In a recent speech, Donald Trump stated that the U.S. may deliver a “very strong blow” to Iran in the upcoming weeks. However, he did not provide a clear plan for reopening this crucial maritime route and urged other nations to take responsibility for ensuring its smooth operation.
Analysts suggest that if tensions in West Asia escalate further, crude oil prices, the Indian rupee, and foreign investments in emerging markets may face pressure.
Experts indicate that if the situation improves, there could be a softening in crude oil prices and stability in currencies. Conversely, if tensions rise, a tendency to avoid risk in the markets may increase.
In terms of precious metals, COMEX gold futures fell by 0.48 percent to trade at $4,679.70, as investors sought safe-haven options amid uncertainty.
Meanwhile, domestic commodity markets remained closed during the morning session due to Good Friday.
Additionally, the Indian stock market closed down for the sixth consecutive week, impacted by rising tensions in West Asia and currency fluctuations, with both major benchmarks—Sensex and Nifty—showing weakness.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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