WTI crude and RBOB gasoline prices surged on Thursday as geopolitical tensions in the Middle East and threats to shipping routes in the Red Sea stoked fears of tightening global energy supplies.
Crude oil surged 6.69% to a 3.5-month high on fears that the US-Iran war will persist and tighten global supplies, with additional support from Saudi production cuts.
RBOB gasoline rallied 5.69% as crude prices climbed and supply concerns persisted.
Natural gas prices recovered amid surging European natural gas prices and broader energy market strength.
Crude oil prices rallied 6.69% to a 3.5-month high as fears of a prolonged US-Iran war threaten global energy supplies. The market is reacting to production disruptions in Saudi Arabia and ongoing geopolitical instability, which have overshadowed bearish EIA inventory data and record-high US domestic production levels.
Prices are being driven by geopolitical risk premiums related to the US-Iran conflict and supply disruptions in the Middle East, which investors view as a greater threat to global supply than the recent weekly inventory builds.