Crude Oil Prices Surge Over 4% Amid Renewed Middle East Tensions
New Delhi, March 24: Global crude oil prices surged more than 4 percent in early trade on Tuesday, as market sentiment turned volatile despite a temporary pause in US military action against Iran’s energy infrastructure.Brent and WTI Extend Gains in Early Trade
Brent crude climbed to around $104 per barrel, marking an increase of about 4 percent. Meanwhile, US West Texas Intermediate (WTI) rose 4.39 percent to $92 as of 9:30 am.The latest spike follows a sharp correction in the previous session, when oil prices had dropped over 10 percent after US President Donald Trump announced a five-day pause on planned strikes and संकेत progress in discussions with Iranian officials.
Oil Rally Driven by Supply Concerns and Geopolitical Uncertainty
Crude prices have remained highly volatile over the past few weeks. Between March 2 and March 23, Brent crude advanced 23.38 percent, rising from $77.74 to $95.92. During the same period, WTI futures jumped 25.60 percent, increasing from $71.23 to $89.47.Despite initial optimism around easing tensions, sentiment weakened after Iran denied any ongoing negotiations with the United States. Iran’s parliamentary speaker, Mohammad-Bagher Ghalibaf, stated that no talks had taken place and said that “fake news is used to manipulate the financial and oil markets,” in a post on X.
Reports of Airstrikes Add to Market Jitters
Further intensifying concerns, reports indicated that two energy facilities were hit by airstrikes. This development raised fears of escalation in the region, dampening expectations of near-term de-escalation.Market participants are also closely monitoring the Strait of Hormuz, a critical global transit route that handles nearly one-fifth of worldwide oil and LNG supplies. Any disruption in this corridor continues to pose significant upside risks to oil prices.
Goldman Sachs Raises Oil Price Forecasts for 2026
Amid the evolving geopolitical landscape, Goldman Sachs has revised its oil price outlook for 2026. The firm now expects Brent crude to average $85 per barrel, reflecting a 10.38 percent increase from its earlier estimate of $77.Similarly, WTI crude is projected to average $79 per barrel in 2026, up 9.72 percent from the previous forecast of $72, according to analyst Daan Struyven.
Summary
- Crude oil prices rise over 4 percent in early Tuesday trade
- Brent at $104 per barrel; WTI at $92
- Oil remains volatile after previous 10 percent drop
- Iran denies negotiations with the US, adds uncertainty
- Airstrike reports heighten supply disruption fears
- Goldman Sachs raises 2026 oil price forecasts
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