Global crude oil prices remained largely unchanged on Sunday, staying below the $100 per barrel mark despite renewed tensions in the Middle East following Iran’s decision to shut the Strait of Hormuz again.
Data obtained at the time of filing this report showed that Brent crude was priced at $90.38 per barrel, while West Texas Intermediate stood at $83.85 per barrel, figures თითქმის unchanged from Saturday’s levels.
The latest development comes hours after Iran initially announced the reopening of the critical oil transit route, a move that had triggered a sharp decline in global oil prices. Brent and WTI had earlier dropped by nine per cent and 11 per cent, respectively, on the back of that announcement.
However, the situation took a new turn as Iran reversed its position, ordering the closure of the strait and attributing the decision to actions by the United States. Iranian authorities insisted that Washington must remove what it described as blockages in the waterway.
Reacting to the development, US President, Donald Trump, condemned Iran’s action, describing it as an act of blackmail amid escalating tensions in the region.
The ongoing Middle East crisis, now in its 50th day, continues to exert pressure on global energy markets, although analysts note that prices have yet to reflect a major supply shock, suggesting that traders may have already priced in much of the geopolitical risk.
Meanwhile, the ripple effects of the crisis are being felt in Nigeria, where domestic petrol prices have surged significantly. Findings indicate that fuel now sells between N1,290 and N1,350 per litre across parts of the country, compared to about N900 per litre before the escalation of the conflict.
Industry stakeholders attribute the increase to rising global oil prices, higher shipping and insurance costs, as well as persistent foreign exchange challenges.
The Strait of Hormuz remains a vital artery for global oil supply, accounting for a significant share of crude exports worldwide. Any prolonged disruption is expected to heighten volatility in the international oil market and further strain import-dependent economies such as Nigeria.
