Key Takeaways Brent crude surged more than 3% to approximately $94 per barrel following weekend military confrontations between the U.S. and Iran WTI crude futures advanced roughly 3.5% to $9
Crude oil markets rallied more than 3% on Monday following a weekend of military escalation between Washington and Tehran, intensifying worries about potential supply interruptions across the Middle East.
Brent crude futures advanced to approximately $93.95 per barrel, while West Texas Intermediate climbed to around $90.40. The gains came after both benchmarks had tumbled roughly 10% during the prior week — marking their steepest weekly declines in recent periods.
Brent Crude Oil Last Day Financ (BZ=F)Last week’s downturn emerged following indications that American and Iranian officials were advancing toward a ceasefire arrangement. However, optimism evaporated rapidly after the weekend’s military actions.
U.S. military officials confirmed operations targeting Iranian air defense systems, unmanned aerial vehicle command centers, and supporting infrastructure. The strikes followed Tehran’s alleged downing of an American drone operating in international airspace.
BREAKING: The US military has conducted strikes on Iranian targets in Goruk and Qeshm Island, Iran, in what it described as "self-defense strikes."
The US says the strikes were carried out in response to "aggressive Iranian actions," including the shootdown of a US MQ-1 drone…
— The Kobeissi Letter (@KobeissiLetter) June 1, 2026
Iran’s Revolutionary Guards launched retaliatory strikes against an airfield utilized by American military personnel. Kuwait’s defense systems intercepted additional missile and drone attacks, underscoring the region’s volatility.
Israel intensified regional tensions by directing military forces to advance further into southern Lebanon, expanding operations against Hezbollah. The maneuver sparked concerns about potential broader regional warfare.
The Strait of Hormuz represents the planet’s most vital oil transit corridor. Roughly one-fifth of global oil supplies move through this narrow waterway.
Maritime traffic through the strait continues operating below typical volumes. Market analysts note that current prices haven’t fully accounted for a complete or prolonged shutdown, suggesting significant upward potential if conditions deteriorate.
Ipek Ozkardeskaya, senior analyst at Swissquote, noted that worldwide petroleum reserves are declining rapidly and emphasized that substantial upside price risks remain should disruptions persist through the Strait of Hormuz.
Negotiators are working on a memorandum of understanding designed to resolve blockages in the strait while establishing a 60-day period for addressing disputes concerning Iran’s nuclear activities and sanctions alleviation.
President Trump commented Saturday that the United States was “close to a very good deal” with Iran. He acknowledged, however, that resumed hostilities remained possible should negotiations collapse.
Amarpreet Singh, commodities analyst at Barclays, observed that markets are anxious to incorporate a resolution into pricing, but an agreement remains elusive following seven weeks of diplomatic engagement.
Major obstacles include regional security frameworks, sanctions removal timelines, and maritime passage rights through the strategic waterway.
Crude prices have experienced dramatic volatility in recent weeks as market participants responded to evolving developments on both military and diplomatic fronts.
During early Monday sessions, both Brent and WTI maintained their upward momentum, though experts warned that market direction could shift rapidly based on whether negotiations progress or military operations intensify.
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