Oil Prices Spike as Donald Trump Threatens Iran Strikes

Global oil prices rose sharply on July 23, 2026, with Brent crude reaching a six-week high of approximately $96 per barrel as tensions escalated between the United States and Iran. The price surge followed reports of an unknown projectile striking a tanker off the coast of Saudi Arabia and claims by the Islamic Revolutionary Guards Corps Research and Self-Sufficiency Jihad Organization that an oil tanker caught fire south of the Strait of Hormuz.

Donald Trump threatened to bomb Iranian infrastructure if attacks against ships transiting the Strait of Hormuz continue. This volatility coincides with Houthi rebel attacks on shipping routes in the Red Sea and the announcement of a naval blockade targeting Saudi Arabian oil vessels in the Bab el-Mandeb Strait.

Despite the international instability, retail fuel prices in India remained stable, with petrol in Delhi priced at ₹102.12 per litre. In contrast, analysts in New Zealand predict pump prices will soon exceed $3 per litre. Meanwhile, the United States Energy Information Administration reported a surprise increase of two million barrels in U.S. crude inventories from the previous week.