Crude Oil Prices Surge to ₹9,617 Per Barrel Amid Geopolitical Tensions
Crude Oil Futures Rise Sharply
New Delhi – Crude oil prices experienced a significant increase on Monday, rising by ₹359 to ₹9,617 per barrel in futures trade. This marks the fourth consecutive trading session of gains, driven by escalating geopolitical tensions in West Asia and growing supply concerns.The Multi Commodity Exchange (MCX) witnessed a substantial jump in crude oil prices for the April contract, climbing by ₹359, representing nearly 4 per cent. Similarly, the May-delivery contract increased by ₹436, or approximately 5 per cent, reaching a lifetime high of ₹9,407 per barrel.
International Market Reaction
In international markets, West Texas Intermediate (WTI) crude for the May contract gained USD 3.27, or 3.33 per cent, to USD 101.50 per barrel. Brent Crude for the same month delivery rose USD 2.89, or 2.72 per cent, to USD 109.30 per barrel in New York.Geopolitical Factors Drive Price Increase
Analysts attributed the rally in both domestic and international markets to investor assessments of the impact of rising tensions around the Strait of Hormuz, a critical oil transit route. Following warnings from US President Donald Trump regarding Iran’s potential action against its energy infrastructure, Tehran signaled retaliation against US and Israeli assets, fueling fears of further regional escalation.Price Volatility Since Conflict
Market sentiment remained strong, with prices for both WTI and Brent oil soaring since the start of the conflict. Brent, which was trading at USD 70 per barrel at the onset of the conflict, has since risen considerably.IEA Warns of Market Disruption
The International Energy Agency (IEA) has cautioned about an unprecedented shock to global oil markets, despite emergency reserve releases and efforts to bolster supply. Traders are closely monitoring developments around the Strait of Hormuz, as any prolonged disruption could further tighten supplies and sustain elevated crude prices.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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