Brent crude pushed back above $100 per barrel on Friday, reversing part of the sharp losses recorded earlier this week as renewed military clashes between the United States and Iran reignited fears over global oil supply disruptions, particularly around the fragile Strait of Hormuz.
The rebound marks a notable shift from Thursday’s decline, when hopes of a possible diplomatic breakthrough and gradual reopening of Hormuz briefly pushed Brent below the $100 threshold. That optimism has now been tempered by fresh exchanges between US and Iranian forces, which traders increasingly see as a reminder that peace remains uncertain and market volatility far from over.
Latest market data placed Brent at about $100.83 per barrel as of May 8, up from the previous session and recovering ground as geopolitical risk premiums returned to oil markets.
The broader story this week has been one of sharp swings driven less by pure supply-demand fundamentals and more by shifting headlines around diplomacy and conflict. After oil fell on expectations that a US-backed proposal could help reopen the Strait of Hormuz and reduce supply pressure, Friday’s renewed hostilities quickly forced markets to reassess.
According to reports, US forces intercepted Iranian attacks and carried out defensive strikes, while tensions remained elevated as Washington awaited Tehran’s response to a proposal aimed at reopening Hormuz and ending the nearly 10-week conflict. Iran is reportedly expected to respond through Pakistani mediators within days.
The International Energy Agency has also warned that the war continues to disrupt millions of barrels per day in global supply, reinforcing concerns that even if diplomacy advances, any meaningful production recovery is unlikely to be immediate.
For oil markets, this means one thing: prices remain deeply sensitive to every geopolitical turn.
This latest rebound does not necessarily erase the broader weekly pullback, but it underscores how quickly sentiment can reverse when the security of one of the world’s most critical energy corridors comes back into question.
For now, Brent’s return above $100 suggests that while peace headlines may trigger temporary relief, traders are still pricing in significant uncertainty, and until there is firmer stability around Hormuz, oil may continue to trade in a volatile pattern shaped by diplomacy one day and military escalation the next.
