New Delhi, March 27 – Crude oil prices rebounded to trade nearly 2% higher in domestic futures on Friday, driven by global energy gains and heightened geopolitical tensions in West Asia.
On the Multi Commodity Exchange (MCX), April crude oil opened lower at ₹8,820 per barrel but surged ₹143, or 1.59%, to ₹9,142 per barrel. The May contract similarly recovered, climbing ₹142, or 1.63%, to ₹8,866 per barrel. Analysts say domestic crude is now hovering around ₹8,900 levels after a volatile week.
In international markets, West Texas Intermediate (WTI) crude for May delivery rose USD 1.12, or 1.19%, to USD 95.60 per barrel, while Brent crude for June delivery increased 1.13% to USD 103.04 per barrel in New York.
Commodity and currency analyst Aamir Makda of Choice Broking noted that crude prices remain volatile due to ongoing tensions in Iran and mixed statements from US President Donald Trump. Disruptions at the Strait of Hormuz have pushed storage tanks to critical levels, raising concerns over potential output cuts if shipping constraints persist.
Adding to global supply pressures, approximately 40% of Russia’s oil exports have been halted following Ukrainian drone attacks on key pipelines. Trump recently extended a pause on military strikes against Iran’s energy infrastructure by 10 days, citing progress in talks, though Iran has denied negotiating, keeping markets on edge.
Crude prices initially dropped after Trump’s announcement but rebounded as the White House and Pentagon considered deploying 10,000 additional troops to the Middle East. Meanwhile, Iran has strengthened defenses around Kharg Island, a crucial oil export hub handling nearly 90% of its crude shipments, heightening geopolitical risk.
The United Arab Emirates has signaled participation in a multinational maritime task force to reopen the Strait of Hormuz, lobbying for a coalition to secure shipping lanes.
Analysts predict continued geopolitical uncertainty will keep crude oil prices volatile in the near term, impacting global energy markets and domestic fuel costs.
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