Weekly Crude Oil Review: Massive jump takes WTI futures above $110 per barrel

WTI crude oil futures witnessed a massive spike on 2 April 2026, soaring around 12% to break above $110 per barrel, as hopes of a near-term resolution to the Iran conflict dimmed sharply. This reignited fears of prolonged supply disruption, particularly through the Strait of Hormuz, which accounts for nearly 20% of global oil flows. The US President Donald Trump has said in his first national address since the start of the war that the US would hit Iran extremely hard in the coming weeks. WTI Crude has zoomed near four-year highs following this spurt and rallied around 12.50% this week.

Meanwhile, Crude oil inventories in the United States increased by 5.5 million barrels during the week ending March 27, according to new data from the U.S. Energy Information Administration (EIA). The increase brings commercial stockpiles to 461.6 million barrels according to government data, which is 0.1% above the five-year average for this time of year. For total motor gasoline, the EIA reported that inventories had decreased by 600,000 barrels after dipping by 2.6 million barrels in the week prior.

WTI Crude oil futures managed to stay supported above the $100 per barrel mark recently, as the Iran conflict entered its fifth week and geopolitical risks continued to intensify. Concerns over supply disruptions grew after Iran-backed Houthi militants expanded hostilities, raising threats to key shipping routes like the Red Sea and critical energy infrastructure in the region. The counter soared around 55% in March. This reflects that markets are largely unconvinced that Trump’s combination of a diplomatic push and threats of sending American troops on the ground will lead to a quick peace.

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