Oil Prices Surge After Israeli Airstrikes on Iran, Triggering Global Market Uncertainty

Global Markets:Following Israel’s airstrikes on Iran, oil prices have seen a sharp rise, stirring concerns and uncertainty among investors. On Friday, the price of Brent Crude oil surged by 9.07%, reaching \$75.65 per barrel, with a peak of \$78.50 per barrel at one point—its highest level since January 27.

Similarly, U.S. West Texas Intermediate (WTI) crude oil also jumped 9.45%, reaching \$74.47 per barrel. Both of these price increases mark the largest daily hikes since the Russia-Ukraine war began.

According to Israeli officials, the strikes targeted Iran’s nuclear facilities, ballistic missile factories, and military commanders, aiming to deter Tehran from advancing its nuclear weapons program. In response, Iran’s Supreme Leader Ayatollah Ali Khamenei vowed to exact “severe punishment” on Israel for the attack.

Experts have warned that if Iran retaliates by targeting regional oil facilities or closing the Strait of Hormuz, global oil supplies could face serious disruptions. The Strait of Hormuz is a vital waterway through which nearly 20 million barrels of crude oil pass daily.

Priyanka Sachdeva, Senior Market Analyst at British news agency Philip Nova, noted that the potential for emergency measures and retaliation by Iran could jeopardize not only oil deliveries but also pose risks to other neighboring oil-producing nations.

U.S. Secretary of State, Marco Rubio, clarified that Washington was not involved in the attacks and issued a warning to Iran, urging them not to target American interests.

The tensions have also impacted other investment sectors, with Asian stock markets experiencing declines, as investors shifted their focus to safe-haven assets like gold and the Swiss Franc.