Oil Prices Hit $100 as Middle East War Disrupts Global Energy Supplies

The cost of crude has risen 40 percent since the start of the war in Iran, pushing up the price of gasoline, diesel and other refined fuels.

1. Brent Crude Crosses $100: Global oil prices reached $100 per barrel on September 9, 2026, the first time since July, amid escalating Middle East tensions.

2. Nearly 40% Rise: Oil is now nearly 40% higher than before the Iran war, which has entered its seventh month.

3. Earlier Price Peak: Brent crude had approached $120 per barrel during the early months of the conflict.

4. WTI Also Surges: U.S. benchmark West Texas Intermediate (WTI) has risen 41% since the start of the war, reaching about $95 per barrel.

5. Persian Gulf Shipments Curtailed: Oil exports through the Persian Gulf have been significantly disrupted since the U.S. and Israel attacked Iran in late February.

6. Strait of Hormuz Disruption: Iran has used force to restrict shipping through the Strait of Hormuz, a critical waterway that carried around one-fifth of global oil supplies before the war.

7. U.S. Navy Assistance: The U.S. Navy is helping vessels navigate the Strait, allowing some oil shipments to continue and limiting further price increases.

8. Red Sea Risks: Iran-backed Houthi forces in Yemen have also restricted tanker traffic through the Red Sea, another potential route for Saudi oil shipments.

9. Attacks on Saudi Energy Infrastructure: Houthi attacks on Saudi Arabia reportedly injured civilians and temporarily disrupted operations at energy facilities.

10. Fuel Prices Rise: Higher crude prices have sharply increased petroleum-product prices in the U.S.:

o Gasoline has exceeded $4 per gallon on average.

o Diesel has reached a record high of nearly $6 per gallon.

o Diesel prices are more than 55% above their level at the beginning of the war.

11. Greater Impact on Petroleum Products: Bank of America analysts said the conflict's largest impact has been on petroleum products rather than crude oil itself.

12. Inflationary Pressure: Expensive fuel is increasing the cost of transportation, agriculture, manufacturing and household consumption, creating additional inflationary pressure.

13. Oil Market Risks Remain High: Lower-than-expected supply, declining inventories and geopolitical uncertainty are expected to keep oil-price risks elevated in the near term.

14. Possible Cease-Fire Impact: A cease-fire could trigger a rapid reversal in oil prices if supply disruptions ease.

15. Extreme Upside Risk: A wider conflict causing major damage to energy infrastructure could push crude oil prices as high as $150 per barrel.

Key takeaway: The prolonged Iran conflict is increasingly becoming an energy-supply and inflation risk for the global economy, with disruption to major shipping routes threatening further increases in crude and petroleum-product prices.

[ABS News Service/09.09.2026]

The global price of oil reached $100 a barrel on Wednesday (09.09.2026) for the first time since July as tensions in the Middle East escalated. That’s nearly 40 percent higher than on the eve of the war in Iran.

The rise reflects investors’ concerns about how long the war, now in its seventh month, will last; tensions have snarled a large chunk of global oil shipments.

Brent crude, the global benchmark for oil prices, briefly surpassed $100 a barrel in July. In the early months of the war, Brent peaked near $120 a barrel. The price of West Texas Intermediate crude, the U.S. benchmark, is up 41 percent since the start of the war, at $95 a barrel.

Crude oil is the primary ingredient for fuels like gasoline and diesel. Rising oil prices have pushed the average price of gasoline in the United States past $4 a gallon, according to the AAA motor club, while diesel this month hit a record high, surpassing its previous peak set four years ago. Diesel is now nearly $6 a gallon, up more than 55 percent since the start of the war.

“The biggest impact of the conflict has been on petroleum products rather than crude oil itself,” Bank of America analysts said in a research note on Tuesday.

Such high fuel costs squeeze businesses and households as the cost of transporting goods, growing crops and driving a car get more and more expensive. Volatile energy prices remain one of the biggest wild cards in monthly inflation reports. The next measure of U.S. inflation is set to be released on Friday.

Since the United States and Israel attacked Iran in late February, oil exports from the Persian Gulf have been greatly curtailed. Iran has used force to keep most ships from passing through the Strait of Hormuz, a narrow waterway between Iran and Oman that before the war carried a fifth of the world’s oil. The U.S. Navy is helping ships navigate the strait, allowing some oil to flow and helping to keep prices from rising more.

But shipping risks in the region remain high. The Iranian-backed Houthi militia in Yemen has restricted tanker traffic at the southern end of the Red Sea, which Saudi Arabia has used as an alternative to the Strait of Hormuz. On Tuesday, Houthi attacks on Saudi Arabia injured dozens of civilians, Saudi officials said. The Saudi energy ministry said attacks on energy facilities had temporarily disrupted operations.

“For now, lower-than-expected supply, declining inventories and geopolitical uncertainty will likely keep oil price risks high in the near term,” the Bank of America analysts said. They added that a cease-fire deal could result in a “swift reversal” but that a broader conflict resulting in major damage to energy infrastructure could push prices as high as $150 a barrel.