Global oil markets rallied sharply on Thursday after the United States signaled a prolonged military campaign against Iran, triggering fresh fears of supply disruptions across key energy routes.
As a percentage, traders responded to growing geopolitical tensions and doubts over global supply, with crude prices jumping more than 5 percent, Brent reaching above $107 per barrel, and West Texas Intermediate crossing $105 per barrel.
US President Donald Trump hinted in a televised speech that military operations could go on for weeks, therefore warning of increased action against Iran. His remarks raised concerns about the Strait of Hormuz, a key conduit for global oil flows, which remains under strain during the war.
The News Chronicle understands that the most recent price increase reflects growing fears in energy markets, as prolonged disruptions could reduce supply and raise prices for import-dependent countries like Nigeria.
Already affecting the nearby area, the effects are evident. Rising crude prices have led to higher gasoline costs; retail prices in some areas of the country have surpassed N1,300 per liter.
This has set off a ripple effect across the food, transportation, and logistics sectors, thereby worsening inflationary pressures on consumers.
Analysts caution that should tensions persist, global oil prices could remain high, further straining fuel-import-dependent economies and complicating efforts to stabilize local markets.
