Global Oil Prices Surge Toward $100 Amid US-Iran Conflict

Global crude oil prices surged toward $100 per barrel on July 23, 2026, driven by intensifying conflict between the United States and Iran. Brent crude reached a six-week high, with reports placing it between $95.5 and $97 per barrel, while West Texas Intermediate rose to approximately $88. Donald Trump, President of the United States, threatened to bomb Iranian infrastructure following attacks on ships in the Strait of Hormuz. Concurrently, Houthi rebels announced a naval blockade in the Bab el-Mandeb Strait and targeted Saudi Arabian oil vessels in the Red Sea.

Economic impacts varied by region. In India, retail petrol and diesel prices remained stable despite the volatility, though analysts warned that sustained prices at $100 per barrel could raise inflation to 4.1 percent and reduce GDP growth. In Pakistan, the government implemented a daily pricing mechanism that caused immediate hikes; petrol rose to PKR 327.12 per litre, triggering a 20% increase in transport fares and a strike warning from the Oil Tankers Association.

While the US Energy Information Administration reported a surprise increase of two million barrels in US crude inventories, the market remains pressured by OPEC+ supply discipline. Financial analysts at Goldman Sachs Private Wealth Management forecast that prices could remain between $100 and $120 through 2026.