Archive · 8 Oct 2026
Oil Prices Climb Above $105 as Trump Weighs Iran Strikes
Oil prices rose on Thursday as traders worried that the United States might launch new strikes on Iran.
Reports say the White House asked the Pentagon to prepare options, but no decision has been announced.
The conflict has also made it harder for ships to travel through the Strait of Hormuz, an important route for oil.
Fewer ships have been using the route than before the war.
Disruptions to oil production and lower inventories have added to worries about supplies.
In the United States, petrol and diesel are already expensive.
Higher energy costs can also make it more expensive to move goods and borrow money.
Qatar says talks between the United States and Iran are still going on.
G7 countries have agreed to release oil and fuel stocks, including diesel, but markets remain concerned about supply.
Brent crude reached $105.46 a barrel and US WTI reached $92.82 on Thursday, amid reports of possible renewed US strikes on Iran.
The Atlantic reported that the White House asked the Pentagon to prepare strike options before the November 3 midterm elections; no final decision has been made.
Attacks on commercial shipping have sharply reduced Strait of Hormuz traffic, while some US oil production has also been disrupted and inventories have fallen.
US regular petrol averaged about $4.36 a gallon and diesel about $6.28 on October 8; higher energy prices have also raised concerns about inflation and borrowing costs.
Qatar says indirect US-Iran talks are continuing, and G7 countries agreed to coordinate a four-month release of 100 million barrels of oil and fuel stocks.
- Who
- Oil-market investors, the US administration under President Donald Trump, and G7 countries.
- What
- Oil prices rose as investors weighed possible renewed US strikes on Iran and risks to oil supplies and shipping.
- When
- Thursday; the G7 stock-release agreement was reported on Friday, and US fuel-price averages were for October 8.
- Where
- Global oil markets, with particular concern about Iran and the Strait of Hormuz.
- Why
- Possible military escalation, reduced shipping through the Strait of Hormuz, production disruption, and falling inventories raised concerns about supply.
Escalation and supply risks
Diplomacy and supply measures
Military escalation
Escalation and supply risks
Reports say the White House asked the Pentagon to prepare options for strikes on Iran before the November 3 midterm elections, raising concerns about further disruption.
Diplomacy and supply measures
No final decision on renewed strikes has been made, and Qatar says indirect talks between the United States and Iran are continuing.
Oil supply outlook
Escalation and supply risks
Attacks have reduced Strait of Hormuz traffic to a fraction of prewar levels, while production disruptions and falling inventories add to supply concerns.
Diplomacy and supply measures
G7 countries agreed to coordinate the release of 100 million barrels of oil and fuel stocks, including a substantial diesel release.
- Brent crude
- Reached $105.46 a barrel on Thursday; another report described it as around $105.
- US WTI crude
- Reached $92.82 a barrel on Thursday; another report described it as around $92.
- US fuel averages
- Regular petrol was about $4.36 a gallon and diesel about $6.28 on October 8.
- Strait of Hormuz traffic
- MarineTraffic data showed an average of fewer than 23 ships daily from September 28 to October 4, compared with hundreds daily before the war.
- G7 stock release
- G7 countries agreed to coordinate the release of 100 million barrels of oil and fuel stocks through the International Energy Agency, over four months.
- US Treasury yield
- The 10-year Treasury yield was around 5.32%, close to levels not seen since 2002.
- UK gilt yield
- The 10-year gilt yield reached 5.527% on Thursday, its highest level since 2007.
- US-Iran talks
- Qatar said indirect talks and exchanges of messages between the United States and Iran were continuing.
