BEIJING – Oil prices continued their upward trend on Wednesday on reports that US President Donald Trump has instructed his aides to prepare for a prolonged blockade of Iran.
According to the Wall Street Journal, the blockade would target Iranian ports and oil exports, as Trump reportedly views other options—such as military strikes or withdrawing from the conflict—as riskier than maintaining economic pressure.
A White House spokesperson emphasized that the US remains engaged in negotiations with Iran but will prioritize national security in any agreement.
Latest Oil Prices
Brent crude for June delivery increased by 52 cents, or 0.47%, reaching $111.78 a barrel at 0154 GMT, marking its eighth consecutive day of gains.
The June contract is set to expire on Thursday, while the more actively traded July contract rose 0.4% to $104.84.
Meanwhile, U.S. West Texas Intermediate (WTI) crude for June delivery climbed 57 cents, or 0.57%, to $100.50 a barrel, following a 3.7% rise in the previous session, extending gains over seven of the past eight trading days.
Energy Prices Projected to Surge in 2026
Energy prices are projected to surge by 24% this year to their highest level since Russia’s invasion of Ukraine in 2022, as the war in the Middle East sends a severe shock through global commodity markets, according to the World Bank Group’s latest Commodity Markets Outlook.
Overall commodity prices are forecast to rise 16% in 2026, driven by soaring energy and fertilizer prices and record-high prices for several key metals.
The shock will have serious implications for job creation and development, the analysis indicates.
Attacks on energy infrastructure and shipping disruptions in the Strait of Hormuz, which handles about 35% of global seaborne crude oil trade, have triggered the largest oil supply shock on record, with an initial reduction in global oil supply of about 10 million barrels per day. Even after moderating from their recent peak, Brent oil prices remained more than 50% higher in mid-April than they were at the start of the year. Brent oil is forecast to average $86 a barrel in 2026, up sharply from $69 a barrel in 2025. These forecasts assume that the most acute disruptions end in May and that shipping through the Strait of Hormuz gradually returns to pre-war levels by late 2026.
