Brent crude oil futures surged past $69 per barrel on Thursday, marking a third consecutive day of gains and reaching levels not seen since late September. The rally was fueled by rising concerns over potential supply disruptions in the Middle East.
Investor anxiety intensified after President Donald Trump warned that a large US naval force in the region is ready to act “with speed and violence, if necessary” should Iran fail to reach a nuclear agreement.
The announcement underscored the risk of conflict potentially affecting crude shipments from the region, which accounts for roughly one-third of global supply.
Attention is particularly focused on the Strait of Hormuz, a key chokepoint for oil and LNG cargoes.
Potential Iranian retaliation could target shipping routes, although Tehran signaled openness to dialogue while cautioning that any provocation would trigger an unprecedented response. Diplomacy with regional powers is ongoing in an effort to avert escalation.
Meanwhile, a weaker US dollar, which fell to its lowest level in nearly four years, added support for oil prices by making dollar-denominated commodities more attractive to buyers globally.
With tensions simmering and supply concerns mounting, Brent’s rally reflects both geopolitical risk and currency dynamics, keeping energy markets on alert as traders weigh the balance between supply threats and diplomatic efforts.