Oil soars 6% as hormuz tensions reignite supply fears

WTI crude futures surged toward $90 per barrel, staging a sharp rebound as escalating tensions between United States and Iran reignited fears of supply disruptions in the critical Strait of Hormuz, a route responsible for nearly a fifth of global seaborne crude flows. The rally was fueled by a sudden breakdown in ceasefire stability, with fresh military actions and retaliatory measures intensifying risks to energy shipments. Comments from Donald Trump regarding the seizure of an Iranian-linked vessel further heightened market anxiety, overshadowing earlier optimism around diplomatic progress. The prolonged conflict has now evolved into a significant energy supply shock, pushing oil prices higher and amplifying global inflation concerns, while also raising the risk of a broader economic slowdown. Reflecting global strength, MCX May crude futures jumped nearly 6% to ₹8,127 per barrel, tracking international benchmarks.

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