For the second time in a week, oil prices crossed the $100-a-barrel mark Thursday as Iran expanded its attacks on economic targets throughout the Middle East. The escalation follows weeks of military exchanges with the United States and Israel, with Tehran now openly targeting the energy infrastructure that powers the world economy. Markets are grappling with a situation that has few modern parallels.
Iran struck ships in and around the Strait of Hormuz, adding to a growing list of disrupted facilities that includes Iraqi oil ports, Bahraini fuel tanks, and an Omani maritime terminal. The Thai-flagged Mayuree Naree was among those hit, with reports indicating three crew members may be trapped. Oman’s state-run energy terminal at Mina Al Fahal was evacuated as a precaution.
The IEA’s emergency reserve release of 400 million barrels — the largest ever — failed to permanently cool prices, which remained elevated throughout Thursday’s trading session. Brent crude settled around $98 a barrel, up about 6% on the day, while WTI climbed 8.6% to $94.75. Iranian military officials taunted Western nations by predicting oil could reach $200 if the conflict escalates further.
President Trump vowed to continue the campaign and announced the release of 172 million barrels from the US Strategic Petroleum Reserve. He said the move would bring prices down substantially as the war’s objectives are met. Energy Secretary Chris Wright confirmed deliveries would begin the following week, unfolding over approximately four months.
Analysts at Goldman Sachs raised their Brent price target for Q4 2026 to $71 from $66 a barrel. Deutsche Bank’s market strategist warned that without de-escalation, investors face a stagflationary shock to the global economy. Japan’s Nikkei and South Korea’s Kospi both fell sharply, while European natural gas prices climbed for the second consecutive day.