Brent crude surpasses $110 as Mideast supply fears mount

2026-03-27 - 10:09

Global oil prices surged anew Friday, with Brent crude futures crossing the $110 per barrel threshold as investors braced for extended disruption to Middle East energy shipments. The international benchmark traded at $110.12 by 0830GMT, while US West Texas Intermediate stood at $94.85. Although prices eased slightly from earlier peaks, both benchmarks remained significantly elevated compared to levels before the current phase of the conflict erupted. A supply shock of historic proportions The Strait of Hormuz—a critical corridor handling approximately one-fifth of the world’s crude oil and LNG—has been operating under severe strain, with shipping traffic nearly halted in recent days. The International Energy Agency has warned that the ongoing supply disruption surpasses the severity of the 1970s oil crises and the Russia-Ukraine gas disruption combined. According to Reuters, roughly 11 million barrels per day have been removed from global supply, sending shockwaves through energy markets. Diplomatic signals fail to calm markets Oil markets remained under pressure despite US President Donald Trump extending by 10 days a pause on strikes targeting Iranian energy infrastructure. Conflicting signals from Washington and Tehran have clouded prospects for near-term de-escalation, with traders focusing on the risk of a prolonged conflict rather than daily diplomatic headlines. The war, which began February 28 with a joint US-Israeli offensive on Iran, has triggered retaliatory strikes across the region and effectively closed the strait to most commercial traffic. Türkiye’s energy security strategy As global energy markets face unprecedented volatility, Türkiye’s long-standing strategy of diversifying energy sources and supply routes has proven critical. Ankara has invested heavily in alternative pipelines, floating storage regasification units, and domestic resource development to reduce reliance on any single corridor. Turkish officials have consistently warned that the closure of the Strait of Hormuz harms all nations and have called for diplomatic efforts to restore freedom of navigation, emphasizing that stable energy flows are essential for global economic security.